Utz Brands Announces Sale of Good Health and R.W. Garcia Brands
Utz Brands sells Good Health and R.W. Garcia brands to Our Home, optimizing supply chains and enhancing brand portfolio. Proceeds will be used for debt repayment.
Utz Brands is thrilled to announce an exciting new development in its business portfolio. The company has recently entered into an agreement to sell its Good Health and R.W. Garcia brands, along with select manufacturing facilities, to Our Home. Our Home, the proud owner of Popchips and other renowned snack brands, has acquired these assets for a total sum of $182.5 million.
This strategic move by Utz demonstrates their commitment to optimizing supply chains and enhancing their brand portfolio. Good Health and R.W. Garcia have gained a reputation as healthier alternatives to traditional Utz snacks. R.W. Garcia snacks are gluten-free, while Good Health offers a range of veggie chips and other chips made with avocado oil and other non-seed oils. In 2023 alone, these brands contributed approximately $65 million in sales for Utz.
In addition to the brands, Utz will also be divesting its manufacturing plants located in Lincolnton, N.C., and Lititz, Pa. Furthermore, Our Home will now take over Utz's lease and operations at its Las Vegas plant. Following the completion of the deal, both companies will continue to collaborate in co-manufacturing certain products.
The proceeds generated from this transaction will be allocated towards debt repayment, highlighting Utz's commitment to maintaining a strong financial position.