POST Online Media Lite Edition



 

Nestle buys stake in U.S. Freshly

Staff Writer |
Nestle said it has acquired a minority stake in U.S. group Freshly, a provider of direct-to-consumer freshly prepared meals, its latest step to improve the health profile of its sprawling portfolio.

Article continues below






Nestle said it was lead investor in a $77 million round of new funding for Freshly, helping it gain access to the $10 billion market for prepared meals in the United States that it said would grow at "very attractive rates".

Nestle did not disclose its exact investment.

The investment will help Freshly build a new East Coast kitchen and distribution centre in 2018 as it prepares to expand its U.S. service nationwide.

Nestle USA's Food Division President Jeff Hamilton would join Freshly's board of directors.

Nestle said last week it may sell its roughly $900 million-a-year U.S. confectionery business, which includes Butterfinger and BabyRuth.

Headquartered in New York with operations in Phoenix, Freshly was founded in 2015 and employs 400.