US snack firm Diamond Foods acquires snack maker Kettle Foods from private-equity firm Lion Capital for USD 615m.

Diamond makes a range of nuts products, Kettle manufactures potato chips and crisp snacks and has operations in both the US and the UK.

Chairman, president and CEO of Diamond, Michael Mendes said Kettle is a "strong, strategic fit" to their business."We believe Kettle Foods is a strong fit with the capability to provide solid financial returns for our shareholders, and we plan to invest behind the brand in several areas to position it for long-term success."

London-based Lion Capital bought Kettle in 2006. Partner Lyndon Lea said "We have dramatically increased Kettle's strategic value through category-leading innovation and penetration gains in the US and UK snacking markets, leading to double-digit annualised growth in group revenues and 30% annualized growth in group profitability".

It is expected that the deal will be closed by the end of July.

Source: just-food.com