Utz Brands to go private in $2.9 billion deal with Intersnack Group

Utz Brands Inc. has agreed to a $2.9 billion all-cash deal to go private, with Germany’s Intersnack Group GmbH acquiring all of its Class A shares at $14.25 each—a 91% premium over the July 20 closing price. The transaction, expected to close in the fourth quarter, will be financed through $920 million in cash from Intersnack, a $1.1 billion term loan, a $250 million asset-based lending facility, and family rollover equity plus a $44 million tax-related settlement. Under the deal, entities controlled by the Rice and Lissette families will retain half of Utz, while Intersnack holds the other half, marking the European snack giant’s first U.S. market entry. Utz, based in Hanover, Pennsylvania, is known for brands including Utz pretzels, Zapp’s snacks, and On the Border chips and salsas. The company went public via a SPAC in 2020 and reported $1.44 billion in revenue last year, with analysts projecting a 4% increase this year. Utz shares surged 90% on July 21 to near the offer price after years of decline amid concerns over pricing and soft demand in salty snacks. Intersnack, headquartered in Düsseldorf, Germany, has a track record of acquiring and scaling local brands across Europe and Australia, including Vico chips and McCoy’s crisps, and has expanded into healthier options like the Ültje nut brand. The company generated 4.5 billion euros ($5.1 billion) in sales last year. Analysts view the deal as part of a broader trend of European food companies targeting U.S. growth, following Ferrero’s acquisition of WK Kellogg Co. and Bel Group’s purchase of Ingenuity Foods. Utz’s Executive Chairman Johan van Winkel called the U.S. snacking market “large and attractive,” and Intersnack cited Utz’s brand heritage as a key draw.