Campbell Soup Company, Sovos Brands Expect to Close Acquisition Deal Soon

The Campbell Soup Company has gotten closer to sealing its acquisition deal with Sovos Brands Inc. after finally obtaining a compliance certification from the United States Federal Trade Commission (FTC). With this development, the canned soup maker is expecting to complete the $2.33 billion buyout next month.

In October 2023, the FTC asked Campbell for additional information about its transaction with Sovos Brands. The documents were needed for the review of the acquisition, and finally, the commission confirmed that the company had complied with all the requirements for the deal. Likewise, the FTC certified that the details supplied meet the agency’s required standards.

Possible Completion Date for the Purchase Agreement

Campbell’s said that it expects to complete the acquisition of the Sovos Brands within days after March 11, as per Reuters. This was the assumed time frame because the issuance of the certification starts the countdown for the 30-day waiting period, which is set to expire on the said date.

After this, the companies may proceed with finalizing their agreement. Since the whole transaction process is still subject to customary closing conditions, it may close before the second half of this year. Shares of the convenience food retailer were said to have gone up by around one percent in extended trading after the news.

Excitement Over the Finalization of the Contract

Investing.com reported that Mark Clouse, the president and chief executive officer of Campbell’s, expressed excitement about the acquisition, saying he is confident that Sovos Brands’ portfolio will help boost the company’s meals and beverages business division. He also looks forward to the synergy created once the companies merge.

“We are excited to be one step closer to completing the acquisition and welcoming the talented Sovos Brands employees to Campbell’s team,” Clouse said in a press release. “The Sovos Brands portfolio strengthens our Meals & Beverages division, and paired with our fast-growing Snacks division, will create one of the best portfolios in the industry and make Campbell one of the most dependable, growth-oriented names in food.”

Todd Lachman, Sovos Brands’ founder and CEO, also commented, “We are delighted to reach this critically important milestone in the completion of the acquisition and we remain highly confident in Campbell’s ability to continue bringing our products to more households and further building on our track record as one of the fastest growing food companies of scale in the United States.”

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