Jamieson is pleased to announce that it has advised Sovos Brands, Inc. in connection with the announced acquisition of Sovos Brands by Campbell’s Soup Company for $23 per share in cash, representing a total enterprise value of approximately $2.7 billion. This transaction is expected to close in the fourth quarter of 2023. The announcement follows the IPO of Sovos Brands in 2021 in which Advent International retained a majority stake after originally funding the creation of the business in 2017.
Sovos Brands, headquartered in Louisville, Colorado, is a high growth, purposefully built food company focused on taste-led products across a portfolio of premium brands, anchored by the Rao’s brand. Its portfolio of products includes premium pasta sauces, dry pastas, soups, frozen entrees, frozen pizza, yogurt, and gelato.
This transaction represents a 14.6x adjusted EBITDA multiple, including expected annualized cost synergies, reaching expected annual run rate synergies of approximately $50 million, and a 92% increase from Sovos Brands’ 2021 IPO price. The strategic transaction adds a high-growth, market-leading premium portfolio of brands to diversify and enhance Campbell’s Meals & Beverages division, providing a substantial runway for sustained profitable growth.
Michael Sirkin, Ian Rosamilia and Whitney Cook advised Sovos Brands on the treatment of equity arrangements in connection with the sale.
Jamieson Corporate Finance US, LLC is a member of FINRA/SIPC
