PepsiCo, Inc. to enter a definitive agreement to acquire Bare Foods Co, a U.S.-based maker of baked fruit and vegetable snacks. The transaction is aimed at diversifying PepsiCo’s snacking portfolio to offer consumers more positive nutrition options.

United States: PepsiCo, Inc. has recently announced intentions of entered into a definitive agreement to acquire Bare Foods Co, a U.S.-based maker of baked fruit and vegetable snacks. The transaction is expected to diversify PepsiCo’s snacking portfolio and is line with its Performance with Purpose vision to offer consumers more positive nutrition options.

The chairman and chief executive officer of PepsiCo believes that PepsiCo has been committed to Performance with Purpose, a vision of making more nutritious products, while reducing the added sugars, salt, and saturated fat and Bare Snacks seemed like the ultimate fit.

Bare Snacks was founded in 2001 by a family-owned organic apple farm in Washington, that began selling packaged baked apple chips in local farmers' markets. Under the current leadership team, the company has expanded steadily to become the leader in apple, banana and coconut snacks. It has recently expanded into vegetable chips and offers the industry's broadest assortment of baked crunchy fruit and vegetable chips.

Bare products are made from simple ingredients that are baked, not fried. They are Non-GMO Project verified, feature clean labels and are sold online and in natural and conventional retail channels across the United States.

The CEO of Bare Foods claimed that the company is thrilled to work with the PepsiCo team to carry forward the company’s mission of bringing simplicity to snacking. The organic snakes company believes that PepsiCo is the right partner to bring the simply baked fruit and vegetable snacks to a variety of consumers across the world and continue to grow the brand.

Upon closing, Bare Snacks will continue to operate independently from its headquarters in San Francisco with its leadership reporting into Frito-Lay North America, a division of PepsiCo.

The president and chief operating officer for Frito-Lay North America believes that Bare premium baked fruit and vegetable chips are an exciting expansion of Frito-Lay's better-for-you snack offerings. While PepsiCo will continue to offer the current Bare Snacks product line, the company is looking forward to working with the Bare Snacks team to deliver new, innovative options, and ultimately expanded distribution, to meet the ever-growing consumer demands for authentic and nutritious snacks.

According to TechSci Research, the acquisition of Bare Snacks by PepsiCo is in line with its vision of Performance with Purpose that aims of making nutritious products by reducing the added sugars, salt, and saturated fat. The acquisition of Bare Snacks will allow PepsiCo to diversify its product offering as well as have a positive impact on the Organic Snacks Market globally. Rising health-consciousness among end users for avoiding adverse health effects is responsible for the shift towards the adoption of organic snacks. Factors such as easy accessibility of organic products and increasing popularity of organic snacks and product innovations are anticipated to drive the growth of the market in the coming years. The acquisition is likely to have a positive impact on Global Food Extrusion Market as well.

According to the recently published report by TechSci Research, “Global Organic Snacks Market, By Product Type (Cookies & Crackers, Fruit Snacks & Dried Fruit Snacks, Puffs & Chips, Energy Bar, Meat Snacks & Others), Point of Sale (Supermarkets/ Hypermarkets, etc.), Competition Forecast & Opportunities, 2013 – 2023”, Global organic snacks market stood at $ 7.35 billion in 2017 and is projected to grow at a CAGR of over 15.74%, in value terms, during 2018-2023, to reach $ 18.34 billion by 2023. To avoid adverse health effects a growing number of consumers are moving towards the consumption of organic snacks, easy accessibility of organic products and increasing popularity of organic snacks and product innovations has been driving the sales growth of this segment and expected to propel demand for organic snacks over the next five years.

According to the recently published report by TechSci Research, “Global Food Extrusion Market, By Food Product (Savory Snacks, Breakfast Cereals, Bread, Flour and Starches, Textured Protein, Functional Ingredients & Others), By Extruder (Single Screw Extruder, Twin Screw Extruder & Contra Twin Screw Extruders), By Process (Cold Extrusion Vs Hot Extrusion), Competition Forecast & Opportunities, 2013 – 2023”, Global food extrusion market is projected to grow at a CAGR of over 6%, in value terms, during 2018-2023. Increasing urban population, rising expenditure on food products, growing demand from developing economies, low production cost and ease of functionality and processing are some factors, that will propel the demand for food extrusion over the next five years. APAC is anticipated to remain a strong contributor in the Food Extrusion market in the forecast period, owing to wing demand for processed food products. Europe accounts for largest market share for the extrusion equipment market and is expected to remain dominant during the forecast period.

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