USA – Utz Quality Foods, a manufacturer of branded salty snacks, and Collier Creek Holdings, a special purpose acquisition company, have announced the completion of their business combination.
The transaction has been unanimously approved by the board of directors of Collier Creek and was approved at a special meeting of Collier Creek shareholders.
As per the terms of the business combination agreement, Collier Creek and Utz have combined to form Utz Brands, Inc., a leading pure-play snack food platform in the U.S.
The common stock of Utz Brands will trade under the ticker symbol “UTZ” on the New York Stock Exchange beginning August 31, 2020.
“Our partnership with Utz brings together the financial and human capital of Collier Creek with an exceptional 100-year-old company that has significant competitive advantages and runway for profitable growth”
Founded in 1921, Utz has a strong heritage in the salty snack industry in the U.S. and more than 40 years of continued growth.
It operates 14 manufacturing facilities nationwide with a broad range of capabilities and produces a full line of potato chips, pretzels, cheese snacks, veggie snacks, pork skins, pub / party mixes, tortilla chips and other snacks, including innovative better-for-you snacking options.
Dylan Lissette, who has served as Utz’s CEO since 2013 and has worked at the Company for almost 25 years, will continue to lead the business along with the existing management team. Utz Brands will remain headquartered in Hanover, Pennsylvania.
“The completion of our business combination with Collier Creek and the initiation of Utz as a public company, marks a significant milestone and will fuel our next century of growth after nearly 100 years as a family-owned business,” said Mr. Lissette.
Collier Creek was co-founded by Chinh Chu, Roger Deromedi, and Jason Giordano, who bring more than 80 years of combined investing and operating experience, with a focus on the consumer goods sector.
“Our partnership with Utz brings together the financial and human capital of Collier Creek with an exceptional 100-year-old company that has significant competitive advantages and runway for profitable growth,” said Mr. Deromedi.
Proceeds from the transaction were used primarily to repay existing borrowings at Utz. The Rice and Lissette family, the founding family and owners of Utz, retained more than 90% of its existing equity stake, which represents more than 50% ownership in Utz Brands following completion of the transaction.
“We are excited to complete this transaction, which delivers attractive value to our shareholders, and look forward to partnering with management to drive future growth and value creation at Utz,” added Mr. Chu and Mr. Giordano.
Meanwhile, Utz has introduced a new line of organic cheese snacks under its Good Health brand, in partnership with Organic Valley.
Organic Baked Cheese Puffs and Baked Cheese Fries are made with real cheese from Organic Valley’s pasture-raised cows, an independent dairy cooperative and organic food brand.
“We’re thrilled to bring these delicious, high quality snacks to consumers with a renowned partner like Organic Valley,” said Bill Blubaugh, senior vice-president of marketing at Utz Quality Foods.
“By launching Baked Cheese Puffs and Baked Cheese Fries, Good Health Organic is off to a great start. We look forward to Good Health Organic delivering tasty snacks to families,” he stated.
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