USA – General Mills has divested natural tortilla snacks company “Food Should Taste Good” to Real Food from the Ground Up for undisclosed sum.
Founded in 2006 by Peter Lescoe, Minnesota-based Food Should Taste Good makes natural tortilla chips from corn, multi-grains, and black bean chips in a variety of flavors.
The company also carries non-GMO credentials, producing plant-based snacks such as tortilla chips, crackers, and pretzels incorporating cauliflower, butternut squash, and purple carrot.
General Mills first acquired the snacks company in 2012, which became part of its natural and organic businesses alongside Muir Glen and Cascadian Farm; now having sold it to Real Food From the Ground Up.
According to General Mills, Food Should Taste Good was no longer seen as a good fit and is part of the company’s Accelerate strategy, which prioritizes core markets, global platforms, and local “gem brands” which are seen to have the best prospects for profitable growth.
The “Accelerate strategy” project was launched in 2021 and was geared toward accelerating General Mills’ organic growth centered on categories such as ice cream, Mexican foods, breakfast cereal, pet food, and snack bars.
Despite tortilla chips being the second-largest savory snacks category within the processed snacks sub-segment extruded snacks in North America, according to London-based GlobalData plc, General Mills simply did not find it a perfect fit.
Nevertheless, Chelcy Walker, a spokesperson for General Mills, affirmed that the disposal of Food Should Taste Good that the sale was made to the right buyer with clear expertise in the tortilla chip business.
“There will be no job loss as part of this divestiture, and no employees will be transitioning to the buyer,” he added.
The Accelerate strategy has overseen the reshaping of General Mills’ portfolio with strategic acquisitions, including acquiring Blue Buffalo pet food and divestitures of yogurt and dough in Europe.
It has also seen the company venture further into animal-free dairy with a recent partnership with Israeli precision fermentation company Remilk.
General Mills has already begun using Remilk in its Bold Cultr cream cheese as it prepares for a nationwide direct-to-consumer rollout in early February.
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