USA – New York based food company, Hain Celestial has announced that it has completed the sale of its WestSoy plant-based proteins business to Keystone Natural Holdings for an undisclosed amount.
The divestiture includes the WestSoy brand of tofu, seitan and tempeh which will then be operated by Keystone Natural Holdings, a portfolio company of Keystone Capital focusing on plant-based food.
The deal, however, does not include the WestSoy® plant-based beverage business, which has been retained by Hain Celestial.
“We are pleased to complete the strategic divestiture of the WestSoy tofu, seitan and tempeh businesses,” said Mark L. Schiller, Hain Celestial’s President and Chief Executive Officer.
“This brand divestiture is in-line with the core objectives of our transformational strategic plan to reduce complexity and streamline our portfolio of brands to drive sustainable growth and shareholder value.
“We believe the WestSoy tofu, seitan and tempeh business, while not core to our strategy, will be a strong performer in the hands of an owner who is committed in this category and will continue to deliver innovative high-quality products to our customers.”
Hain Celestial, which appointed Mark Schiller as its new CEO last year, joined Danone and other plant-based companies to form the Plant-Based Foods of Canada (PBFA) to enhance production of plant-based food products.
In the second quarter results, Hain Celestial which holds brands such as Tilda rice and The Greek Gods yogurt recorded 5% decrease in net sales to US$584.2 million.
Keystone Natural Holdings manufactures and sells plant-based protein products including tofu, meatless veggie burgers and other soy-based and vegetarian items.
The company acquired J.P. Veggies, Inc. and Superior Tofu Ltd portfolios in 2017 after buying Nature Soy, a Philadelphia-based producer of high-quality soy and vegetarian food products, in June 2016.
Nature Soy uses non-GMO ingredients and proprietary formulas to create tofu, soy milk, and rice noodles, supplying specialty retail and foodservice customers in the East Coast and Midwest.