PepsiCo has bought Mexican-American food brand Garza Food Ventures’ Siete Foods (Siete) for $1.7 billion (US$1.2 billion).
Established in 2014, Siete manufactures heritage-inspired tortillas, salsas, seasonings, cookies, sauces, and snacks. Its products are available nationwide in grocery stores, clubs, and organic food retailers.
Ramon Laguarta, chairman and CEO of PepsiCo, said the acquisition will complement its “better-for-you” food offerings and diversify its multicultural portfolio.
“The Garza family has built an exceptional brand,” said Laguarta. “Their passion for making and sharing food shines through in every Siete product, and that’s a passion we share at PepsiCo.”
Miguel Garza, co-founder and CEO of Siete Foods, said the transaction would allow the company to expand its reach to more consumers.
“We hope this next chapter for Siete serves as inspiration for other Latino businesses, showing that it’s possible to build a thriving brand that honours our heritage and celebrates our culture,” he concluded.
The transaction is subject to customary closing conditions, including regulatory approval, and is expected to close in the first half of next year. Additional terms of the acquisition were not disclosed.
