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Inventure Foods sells frozen division to Oregon Potato Company to focus on snack business

Inventure Foods sells frozen division to Oregon Potato Company to focus on snack business

The two sides of Inventure foods until now: Savory Snacks and Frozen Foods (with focus on Fruit)

Inventure Foods, Inc., a leading specialty food marketer and manufacturer, today announced it has entered into a definitive asset purchase agreement for the sale of its frozen business including the Rader Farms® and Willamette Valley Fruit Company™ brands as well as certain assets, rights and properties related to its frozen fruits, vegetable blends, beverages, and frozen desserts business to Oregon Potato Company, for total cash consideration of $50.0 million.

This strategic transaction is expected to be completed in September 2017 and represents an important step in Inventure Foods' ongoing strategic and financial review process to maximize shareholder value.

Terry McDaniel, Chief Executive Officer of Inventure Foods:

"We are pleased to enter into an agreement for the sale of our frozen business.”

“This is a significant second step under our strategic and financial business review.”

“We intend to use the proceeds from the transaction to further reduce our debt and improve our overall financial flexibility in order to allow us to focus on continuing to grow our leading snack business as we finalize our strategic review."
The proceeds from the transaction, net of transaction costs, will be used to repay in full the indebtedness under the Company's revolving credit facility with Wells Fargo Bank, National Association and the other lenders, as well as to pay down indebtedness under its term loan facility with BSP Agency, LLC and the other lenders, as required under such credit facilities.

Frank Tiegs, President of Oregon Potato Company:

"We look forward to completing the acquisition of the Rader Farms and Willamette Valley Fruit brands and believe they will be a strong complement to our existing potato, vegetable and fruit business."
Companies in this Article
Oregon Potato Company is a privately held corporation with two production operations. The Oregon Potato Company operates a potato processing plant in Warden, Washington and another in Boardman, Oregon.
Inventure Foods (formerly known as The Inventure Group) is a US manufacturer producing a range of savory snack foods.