After less than five months of work, the new CEO of PepsiCo, Ramon Laguarta, has just launched its first major move: pick up protein producer Muscle Milk from Hormel Foods Corp. for an undisclosed amount.
Hormel, known for brands such as peanut butter and Justin spam, announced Tuesday the sale of its CytoSport unit. In addition to Muscle Milk, CytoSport manufactures Evolve Protein products and is nicknamed a sports and wellness company.
The transaction is expected to be finalized within 30 to 60 days and Hormel added that more details about the deal would be released Thursday when the results are called.
Bloomberg was the first to announce the news.
Jim Snee, CEO of Hormel, said that PepsiCo was "in a strong position to develop" the company.
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In recent years, Pepsi has focused on snacks.
Last year, she acquired Bare Foods, a dried fruit and vegetable snack business. It also houses major brands of snacks such as Frito-Lay and Quaker.