The businesses announced in October that Snyder’s-Lance would acquire all shares of Diamond in a cash and stock merger transaction for around $1.91bn.
Under the Hart-Scott-Rodino Antitrust Improvements Act, companies are required to file pre-merger notifications with the Federal Trade Commission and the Antitrust Division of the Justice Department, and the Act establishes waiting periods that must elapse before certain acquisitions or tender offers may be consummated.
No barriers to acquisition
With the waiting period now over, “it looks as if there are no barriers to finalizing the acquisition”, Mintel Food and Drink insight director Marcia Mogelonsky told BakeryandSnacks.
The deal would help expand the Snyder’s-Lance snack range with premium potato chips Kettle, Emerald Nuts and Pop Secret Popcorn, she added.
“Even though it’s an expensive buy, Snyder’s-Lance’s stable of brands tends to lean towards the more mainstream, with Hanover Pretzels, Lance Snacks and Archway Cookies,” said Mogelonsky. “Now Snyder’s-Lance has a stake in just about every snack category and the acquisition will give them some better-for-you products with clean labels and non-GMO status - all important attributes sought by consumers.”
Mogelonsky added that the deal was likely to bring more innovation to the Snyder’s-Lance operation as Diamond, and particularly Kettle, was “extremely innovative”.
Both companies declined to comment on their next move following the expiration of the antitrust waiting period.