CAMDEN, N.J.–(BUSINESS WIRE)–June 4, 2002–Campbell Soup Company (NYSE:CPB) today announced that its Australian subsidiary, Arnott’s Biscuits Holdings Pty Ltd, has agreed to make a cash offer of $2.00 per share (Australian) for all of the shares of Snack Foods Limited, a leader in the Australian salty snack category. Under the terms of the offer, Snack Foods Limited’s shareholders will also receive a dividend of 2.5 cents (Australian) per share, previously paid in October, from Snack Foods Limited. The acquisition will be in the form of an all-cash tender offer, and the total consideration for the shares would be approximately $255 million (Australian), or approximately $145 million (U.S.).
The Board of Directors of Snack Foods Limited has unanimously recommended that its shareholders accept the offer. In addition, Snack Foods Limited’s largest shareholder, Thorney Holdings Pty Limited, has granted to Arnott’s an option on up to approximately 20% of Snack Foods Limited’s shares. Arnott’s offer will be subject to a number of conditions, including the tender of at least 90% of the outstanding shares in the offer and the approval of Australian antitrust and foreign investment authorities.
Snack Foods Limited had approximately $125 million (U.S.) in sales in 2001, and over the past two years its sales have grown an average of 8% annually. Arnott’s, the biscuit market leader in Australia, entered the salty snack category in 1996 with the acquisition of the “Kettle Chip” brand. With the addition of Snack Foods Limited’s brands in the potato chip, corn chip and other snack segments of the salty snack market, Arnott’s will be the number two producer in the Australian salty snack market, which has been growing at an annual rate of 7.5% over the past three years.
“This acquisition is consistent with our transformation plan strategy to strengthen our portfolio for predictable volume and profit growth,” said Douglas R. Conant, Campbell’s President and Chief Executive Officer. “Snack Foods Limited has strong brands, which will complement our current franchise and extend our presence in the Australian biscuit and snacking market.”
Forward-Looking Statements
This release contains “forward-looking statements” which reflect the company’s current expectations about its future performance. These forward-looking statements rely on a number of assumptions and estimates which could be inaccurate and which are subject to risks and uncertainties. Actual results could vary materially from those anticipated or expressed in any forward-looking statement made by the company. Please refer to the company’s most recent Form 10-K and subsequent filings for a further discussion of these risks and uncertainties. The company disclaims any obligation or intent to update the forward-looking statements in order to reflect events or circumstances after the date of this release.
About Campbell Soup Company
Campbell Soup Company is a global manufacturer and marketer of high quality soup, sauces, beverages, biscuits, confectionery and prepared food products. The company owns a portfolio of more than 20 market-leading businesses each with more than $100 million in sales. They include “Campbell’s” soups worldwide, “Erasco” soups in Germany and “Liebig” soups in France, “Pepperidge Farm” cookies and crackers, “V8” vegetable juices, “V8 Splash” juice beverages, “Pace” Mexican sauces, “Prego” Italian sauces, “Franco-American” canned pastas and gravies, “Swanson” broths, “Homepride” sauces in the United Kingdom, “Arnott’s” biscuits in Australia and “Godiva” chocolates around the world. The company also owns dry soup and sauce businesses in Europe under the “Batchelors,” “Oxo,” “Lesieur,” “Royco,” “Liebig,” “Heisse Tasse,” “Bla Band” and “McDonnells” brands. The company is ably supported by approximately 24,000 employees worldwide. For more information on the company, visit Campbell’s website on the Internet at www.campbellsoup.com.
