SunOpta acquires plant-based brands (STKL)
SunOpta announced the acquisition of Dream and WestSoy from Hain Celestial for $33M. SunOpta currently manufactures the WestSoy product line and 50% of the products in the Dream portfolio. Both brands are shelf-stable. Dream is the #2 shelf-stable plant-based milk brand with broad distribution in natural, organic, and traditional grocery channels. Dream recently launched an oat milk offering. WestSoy is sold at many national retailers. SunOpta will use a new term loan to finance the acquisition. Along with the launch of Sown, its organic oat creamer, SunOpta is looking to complement its growth while not competing with its co-manufacturing partners.
March retail sales (KR)
Retail sales in March grew 9.8% month over month, above expectations of 5.5%. Driven by the $1,400 stimulus checks, YOY growth was 27.7% higher. Sales at grocery stores increased by 0.5% month over month and decreased 13.8% YOY in March as the pandemic's stockpiling period was anniversaries. Sales at foodservice and drinking places increased 36.0% in March compared to a 16% decrease in February. Restaurant sales increased 13.4% month over month and 36% from March 2020.
Organic produce outpaces conventional in Q1 (GO)
Organic fresh produce sales grew 9.3% in Q1, according to the Organic Produce Network. Organic produce volumes increased by 5.7%. In comparison, conventional produce sales grew 2.9%, with volumes down 0.6%. The top ten produce categories drove 72% of total organic volume and 70% of organic sales. Of the top ten categories, only organic carrots and apples did not grow YOY in Q1. Packaged salads remain the single largest driver of organic dollars, accounting for 17% of all organic sales. During Q1, packaged salads grew 9.5%. Tomatoes grew 14.7%. Organic produce represented 12.8% of total produce sales and 7.4% of volume.
