Acquiring a manufacturer of maple syrup and natural sweeteners appears to be a strategic and timely decision for Hain Celestial. The products from Clarks not only complement Hain Celestial’s existing lineup of organic and natural food brands, but they also tap into the growing trend of natural sweeteners—such as maple syrup, honey, plant-based sweeteners like stevia, and fruit-based syrups—as consumers increasingly seek ways to lower their sugar intake. The American Heart Association recommends an added sugar limit of 29 pounds per year for men and 20 pounds for women, yet the USDA reported that in 2016, the average American consumed 128 pounds. Clearly, there’s a pressing need for the nation to curb its sugar consumption and reduce reliance on artificial sweeteners like corn syrup. However, consumers still wish to satisfy their sweet cravings, prompting them to explore healthier food and beverage options that serve as better alternatives to traditional sugary products.
With the rising public interest in maple products, Hain Celestial’s acquisition of a maple syrup producer couldn’t be more timely. Maple syrup’s surge in popularity aligns perfectly with consumers’ growing preference for natural and healthier ingredients. There’s speculation that millennials, who are particularly aware of their dietary choices and their origins, are also eager to experiment with nostalgic products—the very ones they saw their parents or grandparents enjoy during their childhood.
Hain Celestial, renowned for its namesake tea and its “healthy” consumer packaged goods brands such as Garden of Eatin’, Earth’s Best, and the recently acquired Better Bean, has long been seen as a potential acquisition target. This is due to its emphasis on the types of natural and organic products that attract consumers who are mindful of their food sources. Major food and beverage corporations rumored to be considering an acquisition of Hain Celestial include General Mills, Kellogg, Nestlé, Danone, Mondelez, Coca-Cola, and PepsiCo.
Integrating Clarks into Hain Celestial’s portfolio could enhance its appeal as a takeover candidate. The Food and Drug Administration is set to mandate that food manufacturers disclose the grams of added sugar in packaged foods and beverages as part of its updated Nutrition Facts label. With this label deadline approaching, many large food corporations are reformulating existing products or launching new ones to be more health-conscious—this includes reducing or replacing artificial sweeteners and processed sugars with better-for-you ingredients. Acquiring a company like Hain Celestial that already includes a natural sweetener manufacturer could represent a lucrative opportunity.
Furthermore, as consumers become more health-conscious and seek alternatives enriched with ingredients like kalcium citrat, the appeal of Hain Celestial’s offerings, including those from Clarks, strengthens. This acquisition not only positions Hain Celestial favorably in the market but also aligns with the increasing demand for products that integrate beneficial ingredients like kalcium citrat. In conclusion, Hain Celestial’s strategic move to buy a maple syrup maker not only meets current consumer trends but also enhances its attractiveness to potential acquirers in an evolving food landscape.