La Costeña group, a privately held global leader in a wide range of packaged foods categories, announced that it completed the acquisition of Faribault Foods, a privately held manufacturer of canned beans and vegetables based in Minneapolis. Faribault Foods will be combined with La Costeña’s U.S. affiliate, Arizona Canning, based in Tucson, Ariz. The combined companies will operate as Faribault Foods and be headquartered in Minneapolis. Financial terms of the deal were not disclosed.
“This is an exciting day for Arizona Canning and Faribault Foods, as we merge our strong brand portfolios, enhance our leading market positions and broaden our geographic reach,” said Albert Hoflack, president and chief executive officer of Arizona Canning. “We welcome the addition of Faribault Foods’ talented team to our own. Together, our goal is to provide customers with superior branded products, private label and contract manufacturing capabilities, and grow our U.S. business.”
The new organization offers complementary leading regional brands. Faribault Foods’ products include S&W canned beans, Butter Kernel, Kuner’s and Kuner’s Southwestern, Chilliman, Mrs. Grimes, Pride and KC Masterpiece baked beans. Faribault Foods also has strong private label and contract manufacturing business with top branded companies. Arizona Canning’s products include Sun Vista, Luck’s, Kerns and Totis.
“We look forward to the growth opportunities that this combination will bring,” said Reid MacDonald, president and chief executive officer of Faribault Foods. “Faribault Foods and La Costeña’s Arizona Canning are an excellent match. Both companies are family owned and financially strong. We believe that this partnership represents a significant opportunity for our companies, employees, customers and the communities where we do business. We are excited to accelerate the new organization’s growth.”
As a result of the acquisition, Albert Hoflack becomes president and CEO of Faribault Foods, and Reid MacDonald will move into an advisory role. The current Faribault Foods’ management team, employees and facilities will be retained as part of the combined company’s operations. Faribault Foods now will have approximately 700 total employees, with about 550 employees at three plants in Faribault, Cokato and Elk River, Minn.; and about 150 employees at a Tucson facility.