Hain Celestial to Sharpen Strategic Focus; Enters Into Agreement to Sell North America Snacks Business
Hain Celestial (Nasdaq: HAIN) has agreed to sell its North America Snacks business to Snackruptors for $115 million cash, in a deal expected to close by Feb 28, 2026.
Sentiment and the balance of points
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Rhea-AI Summary
Hain Celestial (Nasdaq: HAIN) has agreed to sell its North America Snacks business to Snackruptors for $115 million cash, in a deal expected to close by Feb 28, 2026. The snacks portfolio represented 22% of company net sales in fiscal 2025 and 38% of North America segment net sales, but showed negligible EBITDA contribution over the last 12 months.
Proceeds will be used to reduce debt and support reinvestment in a simplified North America portfolio focused on tea, yogurt, baby/kids and meal platforms with remaining EBITDA margins in the low double digits and gross margins above 30%. Further details to be discussed on the Q2 FY2026 earnings call on Feb 9, 2026 at 8:00 AM ET.
Positive
- Transaction value of $115 million improves liquidity
- Snacks sale simplifies North America portfolio toward higher-margin categories
- Remaining North America portfolio delivers low double-digit EBITDA margins
- Proceeds earmarked to reduce debt and enable reinvestment
Negative
- North America snacks represented 22% of company net sales in FY2025 despite negligible EBITDA
- Potential near-term revenue reduction from divesting a 38% share of North America segment sales
- Integration risks for Snackruptors and transition of employees until closing by Feb 28, 2026
Details
News Market Reaction – HAIN
On Feb 2, the day this news came out, HAIN closed 2.48% above the previous close.
Data tracked by StockTitan Argus for the Feb 2 session.
Key Figures
- Snacks business sale price
- $115 million cash
- Consideration for sale of North America Snacks business
- Snacks share of net sales
- 22%
- Portion of company net sales in fiscal 2025 from North America Snacks
- Snacks share of NA sales
- 38%
- Portion of North America segment net sales from Snacks in fiscal 2025
- Remaining gross margin
- above 30%
- Gross margins of remaining North America portfolio post-transaction
- Expected closing date
- by February 28, 2026
- Target closing timing subject to customary conditions
- Q2 2026 earnings call
- February 9, 2026, 8:00 AM ET
- Scheduled call to provide additional divestiture details
Historical Context
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Scheduled release and discussion of fiscal Q2 2026 results and outlook.
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Alison Lewis named permanent CEO, emphasizing margin, growth and deleveraging.
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Garden Veggie Snacks limited-edition game day product launch and marketing push.
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Q1 2026 results with lower sales, weaker margins and net loss but stock rose.
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Announcement of schedule and access details for Q1 2026 earnings call.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
ebitda financial
gross margins financial
customary closing conditions regulatory
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Transaction to strengthen Hain’s financial position and support long-term growth potential for go-forward business
HOBOKEN, N.J., Feb. 02, 2026 (GLOBE NEWSWIRE) -- Hain Celestial Group (Nasdaq: HAIN), a leading global health and wellness company whose purpose is to inspire healthier living through better-for-you brands, today announced that it has reached a definitive agreement to sell its North American Snacks business, including Garden Veggie Snacks™, Terra® chips and Garden of Eatin'® snacks, to Snackruptors Inc., a Canadian, family-owned snacks manufacturer, for
This transaction will allow Hain Celestial to move forward with a simplified portfolio in North America focused on core categories and markets with stronger margin and cash flow profiles to drive growth.
Hain Celestial's North America snacks portfolio represented
Going forward, the company’s flagship categories across North America will include tea, yogurt, and baby/kids, along with its meal preparation platforms. Hain’s brands in North America include Celestial Seasonings® teas, The Greek Gods® yogurt, Earth's Best® Organic baby and kids foods and Spectrum® Organic culinary oils.
Alison Lewis, Hain Celestial’s President and CEO, said, “As an output of the previously announced strategic review process of our company’s portfolio, the sale of our snacks business is a decisive first step we are taking to sharpen our focus on categories and platforms in key markets where we can leverage our strongest organizational capabilities. Proceeds from the transaction will be used to reduce debt, strengthening the company’s financial position and leverage profile. The resulting financial flexibility will enable increased investment over time, helping to drive sustainable, profitable growth and create long-term shareholder value."
Rick Taborda, President of Snackruptors, said, “We’re thrilled to be acquiring this established portfolio of delicious snacks that consumers already know and love. We believe these brands have significant growth potential and represent a strong, complementary fit with our existing business. We look forward to welcoming the talented members of the Hain Celestial team who have been supporting these brands to the Snackruptors family. We are excited to work together and unlock their full potential.”
Lewis continued, “The transaction we are announcing today marks a significant moment for Hain Celestial, and I am confident that we have found the right home for these beloved snack brands and our employees who will support them as part of Snackruptors. I want to express my gratitude to the many dedicated team members who have built our North American Snacks business over the years. Their commitment has been instrumental in our progress to reaching this milestone.”
The transaction is expected to close by February 28, 2026, subject to customary closing conditions. Additional details regarding the divestiture will be provided during Hain Celestial’s Q2 Fiscal Year 2026 earnings call scheduled for 8:00 AM ET on Monday, February 9, 2026.
Goldman Sachs & Co. LLC is serving as financial advisor to Hain Celestial and Cravath, Swaine & Moore LLP is serving as legal counsel.
About The Hain Celestial Group
Hain Celestial is a leading health and wellness company whose purpose is to inspire healthier living for people, communities and the planet through better-for-you brands. For more than 30 years, Hain Celestial has intentionally focused on delivering nutrition and well-being that positively impacts today and tomorrow. Headquartered in Hoboken, N.J., Hain Celestial's products across beverages, yogurt, baby/kids and meal preparation are marketed and sold in over 70 countries around the world. Our leading brands include Celestial Seasonings® teas, The Greek Gods® yogurt, Earth's Best® Organic and Ella's Kitchen® baby and kids foods, Joya® and Natumi® plant-based beverages, Hartley’s® jelly, as well as Cully & Sully®, Yorkshire Provender®, and New Covent Garden® soups, among others. For more information, visit www.hain.com and LinkedIn.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks, uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove incorrect, our results may differ materially from those expressed or implied by such forward-looking statements. The words "believe," "expect," "anticipate," "may," "should," "plan," "intend," "potential," "will" and similar expressions are intended to identify such forward-looking statements. Forward-looking statements include, among other things, our beliefs or expectations relating to our future performance, results of operations and financial condition, including statements about the company’s plans to sell its North American Snacks businesses, the expected timetable for completing the transaction, our ability to drive sustainable, profitable growth and create long-term shareholder value; our strategic initiatives; and our business strategy.
Risks and uncertainties that may cause actual results to differ materially from forward-looking statements include: the ability to satisfy the conditions to the closing of the contemplated disposition, which may include conditions outside of our control; our ability to successfully separate the business and realize the benefits of the contemplated disposition; and the other risks and uncertainties described in our most recent Annual Report on Form 10-K and our other filings from time to time with the U.S. Securities and Exchange Commission.
We undertake no obligation to update forward-looking statements to reflect actual results or changes in assumptions or circumstances, except as required by applicable law.
Investor Relations Contact:
Alexis Tessier
Investor.Relations@hain.com
Media Contact:
Justin Godley
Justin.Godley@hain.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/89830e3f-b538-4596-962c-2f3b5a472303
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