TreeHouse Foods To Sell Snacks Division To Atlas Holdings For $90 Mln

(RTTNews) - TreeHouse Foods Inc. (THS) Monday said it has agreed to sell its snacks division to Atlas Holdings LLC for $90 million.

Atlas owns and operates 19 manufacturing and distribution businesses, which collectively employ more than 17,000 associates at over 150 facilities worldwide.

TreeHouse projected the Snacks Division to generate net sales of about $670 million in 2019.

TreeHouse plans to use the net proceeds of the sale to pay down debt. The transaction is subject to customary closing conditions and is expected to close in the third quarter of 2019.

The snacks division, with more than 800 employees, is one of the largest manufacturers and distributors of private label healthy snacks to premier retail customers in North America.

"The sale of the Snacks Division is a key step in optimizing TreeHouse's overall product portfolio. It is the culmination of TreeHouse's strategic review of its Snacks business," said Steve Oakland, CEO and President of TreeHouse Foods. "This transaction allows the Snacks Division to unlock its potential and serve its customers even better under Atlas' ownership. We are grateful for the hard work put forth by the Snacks team during these last several years."