Utz Brands (NYSE:UTZ) has agreed to be acquired by Germany-based Intersnack Group in a deal valued at approximately $2.9 billion, including debt, with the transaction taking the US salty snack manufacturer private and expanding Intersnack's presence in the North American market.
Intersnack will acquire all outstanding shares of Utz Class A common stock for $14.25 per share in cash. The offer represents a premium of approximately 91% to Utz's July 20 closing price.
Shares of Utz surged almost 90% to about $14 on Tuesday morning.
Following completion of the transaction, Utz will become privately held, with the Rice and Lissette family entities and Intersnack each owning a 50% stake in the company. Utz common stock will no longer be listed on the New York Stock Exchange.
Intersnack, a family-founded and privately owned multinational snack manufacturer, said the acquisition will expand its exposure to the US snacking market, where it currently does not have a presence. The company began as a German potato chip producer in 1968 and has since grown through organic expansion, acquisitions and partnerships across Europe and Oceania.
"Our partnership with the Rice and Lissette Family, and commitment to Utz, represents a compelling opportunity for Intersnack to expand our exposure into the large and attractive US snacking market, where we do not currently have a presence," Intersnack Group executive chairman Johan van Winkel said in a statement.
Utz Chief Executive Howard Friedman said Intersnack's experience with brands, along with its marketing, manufacturing and technology capabilities, would support the company's continued investment and growth strategy.
"I have spent significant time with the Intersnack team and have been impressed by Intersnack's deep understanding of the snacking landscape, experience growing distinctive and long-standing brands, and strength in innovation," Friedman said.
The acquisition will be financed through approximately $920 million in cash from Intersnack, borrowings under a new $1.1 billion term loan facility, a new $250 million asset-based lending facility, rollover equity from the Rice and Lissette family and a reinvestment of proceeds from a $44 million settlement of Utz's tax receivable agreement.
The transaction is expected to close in the fourth quarter of 2026. Following completion, Dylan Lissette will assume the role of executive chair of Utz, while the company said it will continue its commitment to the Hanover, Pennsylvania community.
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