The Kraft Heinz Company has agreed to acquire an 85% stake in Germany-based Just Spices for an undisclosed amount.
The three founders of Just Spices will retain the remaining 15% stake in the company, Kraft Heinz added.
They will also remain with the company and focus on driving the business and its international growth.
The deal, subject to customary closing conditions, including merger control approval, is expected to close in the first quarter of 2022.
'A Great Opportunity'
Commenting on the acquisition, Rafael Oliveira, International Zone President at Kraft Heinz, said, "This is a great opportunity to further accelerate our growth agenda by strengthening our ability to anticipate trends in consumer tastes and preferences, as well as our speed to innovate."
Launched in 2014, Just Spices generates annual sales of approximately €60 million.
Its portfolio comprises more than 170 products, including spice blends, salad dressings, and easy-to-prepare ‘In Minutes’ blends for diverse meal occasions.
The company sells approximately 70% of its ready-made and one-step spice blends directly to consumers, while the remaining is sold via grocery retailers, both in-store and online, in Germany, Spain, Austria, and Switzerland.
Oliveira added, “We will leverage our scale and agility to accelerate Just Spices’ business in the fast-growing taste elevation market beyond its current German base and its recent market entries[…]. We also see tremendous potential to strengthen and enhance our direct-to-consumer operations and go-to-market expansion.”
Data-Driven Product Innovation
Just Spices follows a data-driven product innovation approach that appeals to the needs of Gen Y and Gen Z consumers.
The company boasts approximately 1.6 million followers across its social media platforms.
It uses advanced analytics to create and identify early consumer trends, foster product innovation, understand customer sentiment, and optimise consumer targeting.
Florian Falk, Just Spices CEO and one of the company’s three founders, said, “In the last few years, Just Spices has been further strengthening its successful omnichannel approach, with some of the best-in-class direct-to-consumer analytics in the food space.
“We are extremely excited by the potential for expansion that comes from combining Just Spices’ innovation and brand power with the Kraft Heinz team and the scale they bring to the table.”
Kraft Heinz recently announced that it has completed the sale of certain assets in its global cheese business and the license of certain trademarks to an affiliate of Groupe Lactalis. [Photo Courtesy: Denise Pottkaemper, Just Spices]