Maple Leaf Foods has a deal to buy Lightlife Foods Inc. of Massachusetts for $140 million.
The company holds 38 per cent market share in the United States for refrigerated vegetable protein products.
“The transaction will be financed from cash on hand,” says Maple Leaf. “The deal will close in March, subject to customary U.S. regulatory review.”
Maple Leaf president and CEO Michael McCain said that "expanding into the fast-growing plant-based proteins market is one of Maple Leaf's strategic growth platforms and supports our commitment to become a leader in sustainability.”
"Consumers are increasingly looking to diversify their protein consumption, including plant-based options. The acquisition of Lightlife provides Maple Leaf with a leading market position and brand in the United States in a category that is outpacing growth in the broader packaged foods sector.
“We will expand our presence through investment in brand building, innovation and leveraging our respective capabilities."
Lightlife reported 2016 sales of approximately $40 million US.
The company employs approximately 100 people at its facility in Turners Falls, Massachusetts, where it manufactures more than 30 products, including plant-based tempeh, hot dogs, breakfast foods and burgers.
Lightlife management will continue to lead the business, which will operate as a subsidiary of Maple Leaf.