The South African stalwart has announced that it is adding the UK-based granola brand, Lizi’s to its stable of well-known breakfast cereals. Pioneer Foods is the local market leading breakfast cereal manufacturer with household brands such as Weet-Bix, ProNutro, and Bokomo corn flakes among others.
The transaction, which is effective immediately, sees Pioneer Foods UK (a 100 per cent owned subsidiary of Pioneer Foods) acquiring 100 per cent of the issued share capital of The Good Carb Food Company (owner of the Lizi’s granola brand) for an undisclosed amount.
Pioneer Foods UK has been manufacturing Lizi’s products under contract for The Good Carb Food Company and has been instrumental in co-developing products for some time, gaining significant product and market knowledge.
‘This purchase is in line with our strategic plans for acquisitions in geographies and categories where we have an existing presence,’ says Pioneer Foods’ CEO Tertius Carstens. ‘We are confident that this deal will benefit both the Lizi’s business as well as our own, given the synergies between the companies. Lizi’s granola is a very popular product thanks to its healthy and wholesome attributes, and we’re thrilled to welcome it into the Pioneer Foods family.’
Within the UK cereal sector, granola is one of the fastest growing categories and this creates a unique and beneficial opportunity for Pioneer Foods. ‘Lizi’s is the fastest growing brand in the UK’s fast accelerating granola category. The brand has shown exceptional growth over the last three years and is now the number two brand in its category,’ Carstens notes.