Utz Brands' (UTZ) shares soared Tuesday after Germany-based Intersnack Group agreed to acquire the US snacks manufacturer in a $2.9 billion take-private deal.
Intersnack, a privately-owned snacks company, will acquire Utz class A shares for $14.25 per share in cash, representing a 91% premium to its July 20 closing price, the companies said Tuesday.
Shares of Utz, which owns the On The Border Chips & Dips and Zapp's brands, rallied nearly 89% in Tuesday trade.
"Intersnack shares our vision for Utz, and their marketing, manufacturing, and technology capabilities will be invaluable as we continue to invest in our brands and accelerate our strategy," Utz Chief Executive Howard Friedman said.
The deal is expected to close in the fourth quarter of 2026, subject to Utz shareholder approval and regulatory clearance. The Rice and Lissette Family, Dylan Lissette and certain affiliates, who hold about 42% of Utz's common stock, have agreed to vote in favor of the deal.
Upon completion of the deal, Utz common stock will no longer be listed on the New York Stock Exchange, while Dylan Lissette will become executive chair. Intersnack and the Rice and Lissette Family will have equal 50% ownership stakes in the company.
"Our partnership with the Rice and Lissette Family, and commitment to Utz, represents a compelling opportunity for Intersnack to expand our exposure into the large and attractive US snacking market, where we do not currently have a presence," Intersnack Executive Chairman Johan van Winkel said.
Earlier in the year, Utz reported an annual drop in first-quarter adjusted earnings per share and affirmed its 2026 outlook for organic net sales growth of 2% to 3%, assuming a flat salty-snacks category at the midpoint.
Utz plans to release second-quarter results on Aug. 5. The consensus on FactSet is for adjusted EPS of $0.18 on revenue of $374.7 million.
Price: $14.08, Change: $+6.63, Percent Change: +88.99%
