Utz Brands said Monday it has agreed to acquire Vitner’s, a Chicago-based snacks maker, for $25 million.
The acquisition, expected to be completed Feb. 8, will give Hanover-based Utz a stronger presence in the Midwest that Utz will use to grow sales of its own products in that region.
In addition, Utz will shift the manufacturing of Vitner’s products – which include potato chips, popcorn and cheese curls -- from the facilities of Vitner’s owner, Snak-King, to Utz’s own facilities, boosting the utilization of those plants.
Vitner’s posts annual sales of $25 million and earnings before interest, taxes, depreciation and amortization of $3.4 million, according to Utz.
Monday’s announcement marks the second acquisition for Utz in the past three months. In November, Utz agreed to acquire the owner of On The Border tortilla chips, salsa and queso for $480 million. On The Border’s annual sales are $195 million; its annual earnings before interest, taxes, depreciation and amortization are $50 million. That acquisition was completed Dec. 14.
Utz operates the former Keystone Pretzel Bakery plant on West Airport Road, Lititz, with about 60 employees, and a small distribution hub near Stony Battery Road, with fewer than five employees.