British upmarket crisp maker Tyrrells has announced that it has entered into a definitive agreement to be acquired by Amplify Snack Brands Inc., a US-based company best known for its SkinnyPop brand, in a deal worth £300m.
Founded at Tyrrells Court Farm, Herefordshire, in 2002, Tyrrells manufactures premium hand-cooked potato and vegetable crisps, popcorn and other savoury snacks. The value of Tyrrells has tripled in the last three years since it was acquired by Investcorp for £100m in 2013. Sales and EBITDA have more than doubled, whilst in the last 12 months Tyrrells has grown organically and through acquisitions in Australia and Germany. International markets now account for close to 40% of revenues compared to 20% three years ago.
Amplify Snack Brands is a major player in the rapidly expanding ‘Better-For-You’ snacking category in the US. IRI data shows that in the last year SkinnyPop grew 35.3% to over $203m and remains one of the fastest growing ready-to-eat popcorn brands in North America. In the UK, Tyrrells’ has been growing its popcorn brand Poshcorn in the expanding ready-to-eat popcorn sector.
Tyrrells said the deal means that its range in the US will benefit from the experience and knowledge of the Amplify team who are experts in growing premium brands in the region. All other non-North American territories, including the international launch of SkinnyPop, will be managed by the existing, UK-based Tyrrells team. David Milner, CEO of Tyrrells, will become President International of Amplify upon completion of the transaction.
Tom Ennis, Amplify’s President and Chief Executive Officer said: “The product characteristics and flavour profiles of Tyrrells on-trend premium brands align with Amplify’s Better-For-You snacking strategy. Our two brands are examples of strong entrepreneurial spirit with successful track records in transforming categories and creating growth brands. Together we plan to capitalise on each company’s market leadership and sales force capabilities to drive higher revenue growth than either company could independently accomplish”.
Milner added: “This is a terrific deal for Tyrrells and the team who have delivered a stellar performance over the last few years. As a small, UK farm-based business it is a tremendous achievement to be now part of a US publicly-traded company with the international reach to make Tyrrells a global brand”.