The Hershey Company has entered into an agreement to acquire KRAVE Pure Foods, Inc., manufacturer of KRAVE jerky, an all-natural snack brand of premium jerky products.
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The transaction will allow Hershey to tap into the rapidly growing meat snacks category and further expand into the broader snacks space.
KRAVE jerky offers consumers a nutritious and premium option when looking for delicious high-protein snacks. Founded in 2009 by Jonathan Sebastiani, who had a passion and desire to develop a sustaining snack to satisfy his hunger, the company is now a leader in premium jerky, the fastest-growing sub-segment of the estimated $2.5 billion U.S. meat snacks category.
KRAVE jerky has catapulted into the category with its reverence to quality, all-natural ingredients and unique flavor approach, including Black Cherry Barbeque Pork Jerky, Basil Citrus Turkey Jerky and Chili Lime Beef Jerky. KRAVE jerky products are also free of gluten and high fructose corn syrup and have no added nitrites or MSG.
The overall meat snacks category is growing at a double-digit pace with a compounded annual growth rate of about 10% from 2010-2014. The better-for-you, premium subset of the category, where KRAVE participates, increased at a rate of almost four times greater than mainstream brands.
Hershey intends to leverage its best-in-class supply chain capabilities, consumer insights and retail relationships to accelerate growth and access to KRAVE products. Hershey will also partner with KRAVE’s talented team to continue to drive excitement and awareness of KRAVE jerky.
KRAVE will remain headquartered in Sonoma, Calif., and Hershey plans to operate KRAVE as a standalone business within its Hershey North America division.
Sebastiani will continue to lead the business as President of KRAVE and will report to Buck. KRAVE Pure Foods, Inc., has generated approximately $35 million in net sales over the last twelve months and was named to Forbes 2015 America’s Most Promising Companies list. ■