Investment firm buys into low-carbs
investment firm Sunset Holdings through its subsidiary Sunset
Brands will buy Canadian low carb food manufacturer Low Carb
Creations, a producer of sweet and savory products. Elsewhere low
calorie sucralose ingredient Splenda is to be absorbed into a new
ice cream product line.
Details of the agreement were not disclosed but the deal is due for completion by June 1, 2004, with a new name in the pipeline for the acquired firm. More acquisitions by the private investment company are likely.
"We plan to leverage Low Carb Creations' excellent products and management expertise to attract other specialty low carb brand acquisitions into our product family," said Todd Sanders, president and chief executive officer of Sunset Brands.
"Joining Sunset provides us with the opportunity to take advantage of their financial and strategic expertise to reach the nation's low carb consumers and accelerate the expansion of Low Carb Creations brands," added Dan Langdon, president of Low Carb Creations.
More low-carb news this week comes from the food chain Food Lion that said it will roll out three new low-carb flavors to its line of Healthy Delight ice cream, all sweetened with the low calorie sucralose ingredient Splenda (jointly developed by Britain's Tate & Lyle group and the US-based McNeil Nutritionals).
Available in all 1,200 Food Lion stores by March 12, the 'Healthy Delight' ice cream comes in chocolate, vanilla and butter pecan flavors.
Under the terms of a new agreement announced last month, McNeil Nutritionals will retain ownership of the Splenda brand and be responsible for extending its presence in the global retail and food service sectors. Tate & Lyle, meanwhile, will become the sole manufacturer of sucralose, as well as taking responsibility for developing Splenda as an ingredient in other food and beverage products.
With Tate & Lyle becoming the sole supplier of sucralose to McNeil Nutritionals, the US group will now transfer ownership of its sucralose manufacturing plant in Alabama to its long-term partner, along with other ingredient-related assets.
