Hormel Foods Corporation will sell its CytoSport business to PepsiCo, Inc. The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to be completed in 30-60 days, a company release stated.
CytoSport makes Muscle Milk and Evolve Protein products, which include protein powders, shakes and bars. Both lines are marketed as healthy, natural products to an active set of consumers -- a segment of the market that’s experiencing growth.
“PepsiCo has deep expertise and experience in the sports nutrition category and has been a long-standing distribution partner for CytoSport and the Muscle Milk® brand, which puts them in a strong position to grow this dynamic business,” said Jim Snee, chairman of the board, president and chief executive officer at Hormel Foods. “We look forward to working with PepsiCo to ensure a smooth transition for our team members, suppliers, customers and consumers.”