The Kraft Heinz Company announced Thursday that it plans to acquire paleo ingredient and dressing company Primal Kitchen for about $200 million.
Given the rising trend among consumers to switch to healthy foods, Kraft Heinz - the third-largest food and beverage company in North America - could potentially benefit from buying Primal Kitchen as the latter apparently specializes in offering food/ingredients rich in proteins and vegetables, while cutting back on carbohydrates. Primal's products include organic unsweetened spicy ketchup, avocado oil and collagen nut and seed bars among other items. Primal Kitchen is expected to generate about $50 million in revenue this year, according to Kraft Heinz.
As it looks to add a new brand, Kraft Heinz has also been planning to sell some businesses. Earlier this year, it announced plans of selling its Canadian dairy business and Indian food business, Complan.