Divestiture • Food

Schwan s Company Acquires Drayton Foods

On July 24, 2017, Schwan s Company acquired food company Drayton Foods from Northeast Foods

Acquisition Context
  • This is Schwan s Company’s 4th transaction in the Food sector.
  • This is Schwan s Company’s 4th transaction in the United States.
  • This is Schwan s Company’s 1st transaction in North Dakota.

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M&A Deal Summary

Date July 24, 2017
Target Drayton Foods
Sector Food
Buyer(s) Schwan s Company
Sellers(s) Northeast Foods
Deal Type Divestiture

Target Company

Drayton Foods

Fargo, North Dakota, United States
Drayton Foods LLC is a marker of pizza crusts, dough balls, breadsticks and dinner rolls for its food-industry customers, and offers its Two Sicily’s® brand in retail stores. Drayton Foods is based in Fargo, North Dakota.
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Buyer Overview 1

Buyer

Schwan s Company

Marshall, Minnesota, United States

Category Company
Founded 1952
Sector Food
Employees12,000
Revenue 3.0B USD (2018)
DESCRIPTION

Schwan’s Company is a frozen food company that operates nationwide frozen food manufacturing infrastructure and sales network. The Company has 17 manufacturing facilities and 10 distribution centers in the US, and competes with global food companies including Nestlé in the frozen pizza, frozen pie, and frozen Asian appetizer categories with #1 or #2 in market shares.


Deal Context for Buyer #
Overall 4 of 4
Sector: Food 4 of 4
Type: Divestiture 2 of 2
State: North Dakota 1 of 1
Country: United States 4 of 4
Year: 2017 3 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-07-24 Better Baked Foods

North East, Pennsylvania, United States

Better Baked Foods, Inc. is a maker of pizza, French bread pizza and sandwich items for private-label customers and food-service venues, and offers brands such as Better Baked Classics™, Daybreak Classics®, Papa Presto®, Zap-A-Snack® and Odyssey® foods in retail stores. The business, which includes Better Baked Foods of Erie, LLC, operates production facilities in North East, Penn.; Erie, Penn.; and Westfield, N.Y

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2019-02-25 Schwan’s Home Service

Marshall, Minnesota, United States

Schwan’s Home Service markets and distributes more than 300 high-quality frozen foods through home-delivery and mail-order services. Popular product lines include the company’s Signature™ ice cream, pizza, premium meats and seafood, ethnic specialties, breakfast items and desserts. Based in Minnesota, Schwan’s has 400 local sales and distribution centers across the continental United States.

Sell -

Seller Profile 1

SELLER

Northeast Foods

Baltimore, Maryland, United States

Category Company
Founded 1965
Sector Food
DESCRIPTION

Northeast Foods, Inc. (NE Foods) is a producer of food based products. Northeast Foods was founded in 1965 and is based in Baltimore, Maryland.


Deal Context for Seller #
Overall 2 of 2
Sector: Food 2 of 2
Type: Divestiture 2 of 2
State: North Dakota 1 of 1
Country: United States 2 of 2
Year: 2017 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-07-24 Better Baked Foods

North East, Pennsylvania, United States

Better Baked Foods, Inc. is a maker of pizza, French bread pizza and sandwich items for private-label customers and food-service venues, and offers brands such as Better Baked Classics™, Daybreak Classics®, Papa Presto®, Zap-A-Snack® and Odyssey® foods in retail stores. The business, which includes Better Baked Foods of Erie, LLC, operates production facilities in North East, Penn.; Erie, Penn.; and Westfield, N.Y

Sell -