Investindustrial buys TreeHouse Foods to expand private brand snacks, beverages

TreeHouse Foods Inc. has agreed to be acquired by Industrial F&B Investments III Inc., an Investindustrial affiliate, in an all-cash transaction that values the private brands snack and beverage manufacturer at $2.9 billion on an enterprise basis.

Though primarily a private-label manufacturer, TreeHouse Foods owns or controls several brands sold in the convenience services space, including Caza Trail coffees and teas pods, Grove Square cappuccino, cocoa and cider pods, Cremora powdered nondairy coffee creamer and Mocha Mix refrigerated nondairy liquid coffee creamer.

Under the deal, TreeHouse Foods will become a private company and will no longer be listed on the New York Stock Exchange. TreeHouse Foods shareholders will receive $22.50 in cash for each share of common stock at closing, plus one non-transferable contingent value right for each share. The contingent value right will give holders the opportunity to receive their pro rata share of 85% of any net proceeds recovered from ongoing litigation tied to TreeHouse Foods’ coffee business. TreeHouse Foods and its subsidiaries Bay Valley Foods LLC and Sturm Foods Inc. filed suit in 2014 against Keurig Dr. Pepper Inc.’s subsidiary Keurig Green Mountain in federal court in New York, alleging monopolization of markets for single-serve coffee brewers and pods, as well as related antitrust and unfair competition violations. The matter remains pending.

TreeHouse Foods said the agreement with Investindustrial follows a strategic focus on building a more concentrated private brands portfolio in snacking and beverages. Investindustrial will operate TreeHouse Foods as an independent business within its broader food and beverage portfolio, said Andrea C. Bonomi, chairman of the industrial advisory board of Investindustrial, in a release.

Linda Massman, lead independent director of the TreeHouse Foods board of directors, said the board unanimously approved the transaction after evaluating options to maximize shareholder value. Jana Partners LLC, which holds about 10% of TreeHouse Foods’ common stock, has agreed to vote in favor of the deal at a special shareholder meeting. The transaction is not subject to a financing condition.

The acquisition is expected to close in the first quarter of 2026, subject to approval by TreeHouse Foods shareholders, regulatory approvals and other customary closing conditions. Following completion of the transaction, TreeHouse Foods’ common stock will be delisted from the New York Stock Exchange, and the company will become privately held.