Snack Brands Australia

Last updated

Snackbrands Australia
Industry Food
Founded1998 (25 years ago)
Headquarters,
Australia
Key people
Kurt Preshaw
ProductsCrisps and corn snacks
Brands CC's
Thins
Kettle
The Natural Chip Company
Cheezels
Jumpy’s
Parent Intersnack
Website snackbrands.com.au linkedin.com/company/snack-brands-australia

Snackbrands (SBA) is one of the largest suppliers of snack foods in Australia [1] and acts as the main competitor to the long established The Smith's Snackfood Company.

Contents

The company was founded in August 1998 as a subsidiary of parent company Snack Foods Limited, with main product lines including Kettle, Cheezels, Natural Chip Co and Thins. The company was acquired by Philippines food and beverage company Universal Robina in 2016 for AUD$600 million (US$461 million) and it is currently owned by the German snack food company Intersnack. [2] [3] The company has more than 400 employees, with Kurt Preshaw as chief executive officer, in which the company had USD $248.95 million in revenue in 2021–22. [4] Their headquarters office is in Norwest, Sydney, Australia.

History

In 1998, The Smith's Snackfood Company was acquired by Frito-Lay (a subsidiary of PepsiCo). Because these were the two largest producers of salty snack foods in Australia, Frito-Lay agreed with the Australian Competition & Consumer Commission to divest a range of brands to ensure adequate competition. [5]

Additionally, several manufacturing facilities were released including plants in South Australia, New South Wales and Victoria. This package was named 'Snack Brands Australia' and was sold to Dollar Sweets Holdings.

In September 2012, Snackbrands became an associated member of the Roundtable on Sustainable Palm Oil (RSPO). [6]

In 2016, Philippines snack food and beverage company Universal Robina acquired Snack Brands Australia for A$600 million (US$461 million), [1] [7] including its entirety of product lines and the two existing manufacturing facilities located in Smithfield and Blacktown in Sydney, Australia. The acquisition process spawned from Snack Brands compounded annual growth rate of 7.4% over the previous 4 years. [8]

Later in 2016, Snackbrands Australia merged with 40-year-old company New World Foods in attempt to extend the growth and share of the rapidly expanding brand. [9] This included the acquisition of Local Legends Jerky, which were distributed throughout Australia, Asia and the United Kingdom.

In 2018, plans were approved for the development of a new $200 million distribution centre for Snackbrands Australia in Erskine Park, Sydney. [10] Private equity real estate investor Altis Property Partners were recruited develop the 30,255 square metre logistics facility designed for automated robotics and technology to store and retrieve items. The high bay facility will be leased for an initial 20 years upon its forecasted completion in late 2020. The development and construction process of the 10.42 hectare plant is managed by TM Insight, a global supply chain and property consultancy. It was one of the largest industrial property deals in the 2018 financial year. [3] 74 The end value of the facility was projected at $400 million. [11]

In December 2019, Universal Robina and German company Intersnack formed Unisnack ANZ, a joint venture comprising Snack Brands Australia and Griffin's Foods. Intersnack held a 40% stake in the consolidated business. [12] [13] In August 2021, Universal Robina exited the Australian and New Zealand market by selling its remaining 60% stake in Unisnack ANZ to Intersnack. [14]

Products

Snackbrands headquarters is located in Smithfield, Sydney, Australia, with an additional manufacturing facility in Blacktown. These facilities produce approximately 200 million packets per annum. Product lines include:

Sustainability

Roundtable on Sustainable Palm Oil (RSPO)

In September 2012, Snackbrands became an associated member of the Roundtable on Sustainable Palm Oil (RSPO). [6] RSPO is a transnational non-profit organisation established to encourage, develop and advance the attainment, production, funding and practise of sustainable palm oil products.

In 2013, Snackbrands made a publicised commitment to use 100% RSPO certified sustainable palm oil in all manufactured products by 2020, which has been fulfilled; predominantly in the production of Kettle Chips. [15] In October 2014, they began supply of 100% RSPO certified sustainable palm oil in procurement via the “mass balance” methodology. [6]

In February 2015, Snackbrands owned Australian manufacturing sites underwent a RSPO certification audit for Segregated Palm oil and gained certification. [16] This certification was integrated into the development of the $200 million distribution centre in 2018, with annual audits from RSPO.

In 2019, Snackbrands used a total volume of 8,560 tonnes of crude and refined palm oil, 100% of which is RSPO certified sustainable. [17]

Related Research Articles

Granny Goose is an American brand of potato chips and other snack foods.

<span class="mw-page-title-main">PepsiCo</span> American multinational food and beverage corporation

PepsiCo, Inc. is an American multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products. PepsiCo was formed in 1965 with the merger of the Pepsi-Cola Company and Frito-Lay, Inc., PepsiCo has since expanded from its namesake product Pepsi Cola to an immensely diversified range of food and beverage brands. The largest and most recent acquisition was Pioneer Foods in 2020 for US$1.7 billion and prior to it was buying the Quaker Oats Company in 2001, which added the Gatorade brand to the Pepsi portfolio and Tropicana Products in 1998.

<span class="mw-page-title-main">Lay's</span> Snack food brand and company

Lay's is a brand of potato chips with different flavors, as well as the name of the company that founded the chip brand in the United States. The brand is also referred to as Frito-Lay, as both Lay's and Fritos are brands sold by the Frito-Lay company, which has been a wholly owned subsidiary of PepsiCo since 1965.

<span class="mw-page-title-main">The Smith's Snackfood Company</span> Snack food manufacturing company

The Smith's Snackfood Company is a British-Australian snack food brand owned by the American multinational food, snack, and beverage corporation PepsiCo. It is best known for its brand of potato crisps. The company was founded by Frank Smith and Jim Viney in the United Kingdom in 1920 as Smiths Potato Crisps Ltd, originally packaging a twist of salt with its crisps in greaseproof paper bags which were sold around London. The dominant brand in the UK until the 1960s when Golden Wonder took over with Cheese & Onion, Smith's countered by creating Salt & Vinegar flavour which was launched nationally in 1967.

<span class="mw-page-title-main">Twisties</span> Australian snack food

Twisties are a type of cheese curl corn-based snack food product, available mainly in Australia, and other Oceanian countries such as Papua New Guinea, New Caledonia, Vanuatu and Fiji, the Southeast Asian countries Malaysia, Thailand, Singapore and Brunei, and the island of Mauritius in the Indian Ocean. They are also available in Europe, but marketed as "Fonzies", and in France as "Belin Croustilles". It was launched in 1950 by the General Foods Corporation. The brand name is owned by The Smith's Snackfood Company. While originally an Australian-owned company, Smith's was acquired in August 1998 by Frito-Lay, the second largest producer of snack foods in Australia, which in turn is owned by American multi-national PepsiCo. In Malaysia, Twisties is a product of Mondelēz International, after having been a part of Danone and later, Kraft Foods previously. In Thailand, the Twisties trademark is owned by Lay's, which like The Smith's Snackfood Company, is owned by PepsiCo.

Cheezels are a brand of Australian snack food currently produced by Snack Brands Australia. Made from corn and rice, they are a crisp puffy ring with a strong, savoury cheddar cheese flavour and aroma. They are similar in texture to cheese puffs, American Cheetos, or Canadian Cheezies.

Snack Foods Limited is an Australian snack food company and was officially formed on 25 November 1999, and was owned by Arnott's Biscuits Limited, a subsidiary of the American Campbell Soup Company. Snack Foods Limited owns one of Australia's largest salted snack food companies, Snack Brands Australia. In April 2008, Campbell Arnott's sold Arnott's Snackfoods to The Real McCoy Snackfood Co and the company is now known as Snack Brands Australia.

<span class="mw-page-title-main">Kettle Foods</span> American foods company based in Oregon

Kettle Foods, Inc. is an American manufacturer of potato chips, based in Salem, Oregon, United States, with a European and Middle East headquarters in Norwich, United Kingdom. As of 2006 they were the largest natural potato chip brand in the U.S.

<span class="mw-page-title-main">Universal Robina</span> Filipino food and beverage company

Universal Robina Corporation (URC) is a Philippine company based in Quezon City, Philippines. It is one of the largest food and beverage companies in the Philippines.

Bluebird Foods Ltd is a New Zealand division of the U.S.-based PepsiCo corporation, that manufactures snack foods. All snacks are manufactured at the Bluebird Foods factory in Wiri, Auckland.

<span class="mw-page-title-main">Arnott's Group</span> Australian snack food manufacturer

Arnott's Group is an Australian producer of biscuits and snack food. Founded in 1865 by William Arnott, they are the largest producer of biscuits in Australia and a subsidiary of KKR.

<span class="mw-page-title-main">JG Summit Holdings</span> Filipino conglomerate

JG Summit Holdings, Inc. (JGSHI) is one of the largest conglomerates in the Philippines with business interests in air transportation, banking, food manufacturing, hotels, petrochemicals, power generation, publishing, real estate and property development, and telecommunications. Key subsidiaries include Universal Robina and Cebu Pacific. Incorporated in November 1990, JG Summit Holdings was founded by John Gokongwei Jr., one of the wealthiest individuals in Southeast Asia. In 2010, JGSHI was one of the ten most profitable companies on the Philippine Stock Exchange.

<span class="mw-page-title-main">Jays Foods</span> American snack product manufacturer

Jays Foods, Inc., is an American manufacturer of snack products including potato chips, popcorn and pretzels. Jays Foods was founded in 1927 in Chicago, Illinois, and is currently a subsidiary of Snyder's of Hanover. Operating in several Midwestern states, Jays Foods' potato chips and popcorn maintain significant shares of their respective markets.

<span class="mw-page-title-main">Griffin's Foods</span> Snack-food and confectionery manufacturer

The Griffin's Foods Company is a New Zealand food company currently headquartered in Auckland and established by John Griffin as a flour and cocoa mill in the city of Nelson in 1864. The company started biscuit manufacturing in 1890. Products commercialised by Griffin's include cookies, chocolate confection, crackers, cereal bars, and snack food.

<span class="mw-page-title-main">Shearer's Foods</span> Snack product manufacturer

Shearer's Foods, LLC is a U.S. manufacturer and distributor of snack foods. Founded in 1974 as Shearer's Snacks, it is headquartered in Brewster, Ohio.

<span class="mw-page-title-main">Frito-Lay</span> American company producing snack foods

Frito-Lay, Inc. is an American subsidiary of PepsiCo that manufactures, markets, and sells corn chips, potato chips, and other snack foods. The primary snack food brands produced under the Frito-Lay name include Fritos corn chips, Cheetos cheese-flavored snacks, Doritos and Tostitos tortilla chips, Lay's and Ruffles potato chips, Rold Gold pretzels, and Walkers potato crisps. Each brand generated annual worldwide sales over $1 billion in 2009.

<span class="mw-page-title-main">Utz Brands</span> U.S. food company

Utz Brands, Inc., more commonly known as Utz, is an American snack food company based in Hanover, Pennsylvania. The company produces a variety of potato chips, pretzels, and other snacks, with most products sold under their family of brands. Utz is also a snack supplier to warehouse clubs and merchandisers.

<span class="mw-page-title-main">Musim Mas</span> Indonesian food processing company

Musim Mas Group operates globally in the palm oil industry, with a presence in 13 countries spanning Asia-Pacific, Europe, North America, and South America. The group owns a significant network of palm oil refineries and is involved in vegetable oil refining. Additionally, it manufactures consumer goods such as soap and cooking oil brands in Indonesia. With a workforce of 37,000 employees, Musim Mas is supported by an extensive logistics network consisting of chemical and coastal tankers, barges, tugboats, and bulk installations at major ports in Indonesia and other strategic locations worldwide.

Wyandot Snacks is a privately held and family owned American contract manufacturer of snacks and other packaged foods, headquartered in Marion, Ohio, a part of the Columbus, Ohio Combined statistical area. primarily as a contract manufacturer for domestic and international branded snack businesses, but also for foodservice customers. The company's main product lines are extruded snacks, corn & tortilla chips, and ready to eat (RTE) popcorn. Wyandot's focuses on the creation of plant-based snack products made from ancient grains such as sorghum and quinoa, pulses such as chickpeas, and flaxseed, among others.

References

  1. 1 2 "Universal Robina Acquires Snack Brands Australia for US$461M". Global AgInvesting. 17 August 2016. Retrieved 8 September 2020.
  2. "[Amend-2]Acquisition or Disposition of Shares of Another Corporation".
  3. 1 2 "Universal Robina to acquire Snack Brands Australia for $600m". 17 August 2016.
  4. "SNACK BRANDS INDUSTRIES PTY LTD & SNACK BRANDS FOODS PTY LTD". 2020.
  5. "No intervention in Smiths's sale". Australian Competition & Consumer Commission . 21 August 1998. Retrieved 23 November 2019.
  6. 1 2 3 "RSPO Annual Communications of Progress 2019" (PDF). 2019.
  7. "Philippines group Universal Robina pays $600m for Kettle chips maker". Australian Financial Review . 17 August 2016. Retrieved 8 September 2020.
  8. GlobalData plc (2016, October 18). Canadean Company Reports ID 1829938305. Universal Robina Corporation: Consumer Packaged Goods – Company Profile, SWOT & Financial Analysis. Retrieved from ABI/INFORM Collection.
  9. "New World Foods partners with Snack Brands Australia". 2016.
  10. Schlesinger, Larry (2018). "Private equity developing Cheezels maker Snack Brands new centre".
  11. "New shed: Chip maker Snack Brands commits to growth plan with $400m supply chain spend | Australian Food News". Australian Food News. 10 December 2018.
  12. "URC sells stake in snacks joint venture to partner Intersnack". BusinessWorld Online. 30 July 2021. Retrieved 5 January 2023.
  13. Berry, Kim (17 July 2019). "Snack Brands Aust owner and Intersnack Group deal". Food & Drink Business. Retrieved 5 January 2023.
  14. Burgos, Jonathan (2 August 2021). "Philippine Gokongwei Group Exits Australia, New Zealand Snack Foods Business". Forbes. Retrieved 5 January 2023.
  15. Australia, BOS (2020). "Helping you buy responsibly - Palm Oil Alternatives" (PDF).
  16. Kaiser, R. (2020, 16 June). 2020 Annual Report and Action Plan. Snack Brands Industries Pty Ltd & Snack Brands Foods Pty Ltd. APCO Annual Reporting Tool.
  17. WWF (2020). "Snack Brands - Palm Oil Buyers Scorecard".