Highlights

  • Hain Celestial agrees to divest its North America Snacks business for USD 115 million cash.
  • Transaction aims to simplify portfolio and reduce debt exposure across North America operations.
  • North America Snacks contributed limited EBITDA despite accounting for 22% of FY25 net sales.

Hain Celestial Group (NASDAQ:HAIN) has entered into a definitive agreement to sell its North America Snacks business to Snackruptors Inc. for USD 115 million in cash. The divestiture includes well-known snack brands such as Garden Veggie Snacks™, Terra® chips, and Garden of Eatin'® snacks. The transaction follows the company’s previously announced strategic review of its portfolio and reflects a move toward narrowing its focus within the North American market.

The company stated that the sale supports a simplified operating structure centered on categories with comparatively higher margin and cash flow characteristics. The transaction is expected to close by February 28, 2026, subject to customary closing conditions.

Financial Impact and Segment Overview
Hain Celestial disclosed that its North America Snacks portfolio accounted for 22% of total company net sales in fiscal year 2025 and represented 38% of net sales within the North America segment. Despite its revenue contribution, the snacks business generated negligible EBITDA over the past twelve months.

Following the divestiture, the remaining North America portfolio is expected to reflect a different financial mix. The company noted that these retained categories deliver EBITDA margins in the low double digits, supported by gross margins exceeding 30%.

Proceeds from the transaction are planned to be used primarily for debt reduction, which is expected to alter the company’s leverage profile.

Refocused Category Priorities
Post-transaction, Hain Celestial’s core North America categories will include tea, yogurt, baby and kids nutrition, along with meal preparation platforms. The company’s key brands in these segments include Celestial Seasonings® teas, The Greek Gods® yogurt, Earth’s Best® Organic baby and kids foods, and Spectrum® Organic culinary oils.

Transaction Details and Timeline
Snackruptors Inc., a Canadian family-owned snacks manufacturer, will acquire the business and associated brand portfolio. Employees supporting the North America Snacks unit are expected to transition with the business.Goldman Sachs & Co. LLC is acting as financial advisor to Hain Celestial, while Cravath, Swaine & Moore LLP is serving as legal counsel.

Share Performance
HAIN shares traded slightly up at USD 1.21, on January 30, 2026.