Dive Brief:
- Glanbia is selling Slimfast to Splenda owner Heartland Food Products for an undisclosed amount.
- SlimFast, founded in 1977, sells diet shakes, bars, meals, snacks and other supplement foods. The brand, along with nutritional supplement brands Healthy Delights and Nu-Therapy, was purchased by Glanbia for $350 million in 2018 from Unilever.
- In February, Glanbia took a non-cash impairment charge of $91.4 million on SlimFast as “continuing challenges in the diet category" impacted performance. The Ireland-based company said at the time it would look to sell the brand as part of its exit from the weight loss category.
Dive Insight:
The acquisition will enable Heartland to build its presence in better-for-you offerings while adding another recognizable brand to its portfolio. It also allows the company to participate in two trendy areas popular with consumers today: losing weight and cutting down on sugar.
"The addition of SLIMFAST to the Heartland family, alongside our SPLENDA BRAND, reinforces our commitment to helping consumers live healthier, more balanced lives," Ted Gelov, Heartland’s chairman and CEO, said in a statement. "Both brands share a common purpose, empowering people to make better choices without sacrificing taste or enjoyment.”
However, as more Americans turn to GLP-1 drugs to manage their figures, weight loss shakes — which also work by suppressing consumers' appetites — have fallen out of favor in comparison. SlimFast sales have plunged since 2022, according to Reuters.
