Shearer’s Foods Sold For $500 Million
The giant snack and potato chip manufacturing company Shearer’s Foods is being sold to Chicago-based Wind Point Partners for a stunning $500 million. Earlier this week, the two companies signed an agreement allowing Wind Point Partners to acquire Shearer’s Foods. After founding the company, Robert Shearer will step down as CEO of Shearer’s Foods, allowing future business operations to be decided by the company’s new owner, Wind Point Partners.
Shearer’s Foods Inc. was originally founded in 1974 by Robert J. Shearer. Although it took a few years for them to get their business off the ground, by the late 70s they were making kettle-cooked chips. With the success of their chips, Shearer’s Foods began to branch out with the production of other food products, such as pretzels, pork rinds and tortilla chips. Today, the company has a total of four manufacturing plants and five distribution plants, employing more than 18,000 workers.
So, what gave Robert J. Shearer the idea to start one of the world’s most successful chip companies? According to a personal bio, he started Shearer’s Foods as a result of a bad bag of potato chips. After opening a bag of stale chips, he decided to go into the business of producing only high-quality chips and snacks for consumers to enjoy. After nearly 40 years of being in business, I think it’s safe to say he accomplished his life-long dream.
Although some of their products are branded, Shearer’s Foods also manufacturers private label snacks. Some of their most popular private label snacks include Tangos and RiceWorks. These contracted foods can be found at a number of different grocery stores, markets and health foods throughout the country. If you’re looking for a healthier and tastier alternative to traditional chips, give them a try.
You might be wondering who will take control of Shearer’s Food now that founder Robert Shearer is stepping down. In a statement made to the press, Wind Point Partners stated that former Sara Lee CEO C.J. Fraleigh will be assisting them in the deal. Once all the paperwork is finished in October, Fraleigh will take over the role of working CEO for Shearer’s Foods. This is good news for the snack-manufacturing company, as Fraleigh has over 25 years of experience in working with consumer products. “With the growth of private label brands and the trend toward outsourcing for branded food companies, Shearer’s is well-positioned to continue its historical growth trajectory,” Mr. Fraleigh said.