August 1, 2025

Please see below for a listing of what the North Point Food & Beverage Team has been tracking this week. We hope that you find the content insightful and a nice way to summarize the most noteworthy Food & Beverage events of the week.

Have a nice weekend!

Glen Clarke

Head of Food & Beverage

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Amylu Foods sells to TowerBrook.

• Amylu Foods, a chicken sausage producer, has struck a deal to sell itself to TowerBrook Capital Partners, according to four sources familiar with situation.

Source: Mergermarket

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FlavorSum sells for tasty multiple.

• FlavorSum, a Riverside Company-backed flavor producer, sold to Warburg Pincus at a valuation multiple of 20x EBITDA, according to two sources familiar with the situation. 

Source: Mergermarket

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Turri's Italian Foods acquires Joseph's Gourmet Pasta from LaSalle Capital.

• Turri's Italian Foods, a Roseville, MI-based provider of IQF (individually quick frozen) pasta and rice, has acquired Joseph's Gourmet Pasta, a Boston, MA-based manufacturer of frozen pasta, sauces, and appetizers.

Source: Mergermarket

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Juggernaut taps Jefferies to explore Atlas Vineyard Management exit.

• Juggernaut Capital is exploring a sale of portfolio company Atlas Vineyard Management alongside financial advisor Jefferies, according to two sources familiar with the situation.

Source: Mergermarket

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Online grocery booms 28% YoY, headwinds hamper total takeover.

• June online grocery sales surged ~28% year-over-year to $9.8 billion, with growth across delivery, pickup, and ship‑to‑home channels, but ship‑to‑home remains the smallest segment at ~$1.7 billion due to supply‑chain inefficiencies.
• Consumers prefer shopping through first‑party grocer apps or sites, with 52% using them versus 27% relying on national third‑party platforms, yet many retailers lag in digital capabilities such as personalization, loyalty integration, and fee transparency.
• Main barriers to broader adoption include high relative prices, unexpected fees, and lack of personalization, with 49% discouraged by surprise costs and 54% deterred by service fees, while 65% demand personalization and nearly 80% expect digital loyalty programs.

Source: The Food Institute

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Anticipating the impact of new tariff developments.

• The Trump administration is set to implement a new round of tariffs starting August 1, including a 50% tariff on Brazilian imports, 35% on Canadian goods, and 30% on Mexican products. These measures aim to standardize tariffs at 15% for countries without trade agreements, potentially affecting consumer prices and company profitability.
• Domestic soybean and canola growers may benefit from reduced competition due to tariffs on Brazilian and Canadian imports. However, U.S. farmers and exporters of grains and oilseeds could face losses as targeted countries are likely to impose reciprocal tariffs, reducing international sales.
• While agricultural producers may experience challenges, U.S. food companies could see mild gains from lower domestic ingredient costs, such as flour. However, these benefits may be offset by reduced profits and increased consumer prices, potentially pressuring consumer spending.

Source: Meat+Poultry

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High coffee prices brew interest in bean-free alternatives.

• Climate-driven crop loss and tariffs are pushing coffee prices to record highs, with severe droughts in key producing countries like Vietnam and Brazil, and potential new tariffs accelerating price increases.
• Major coffee companies such as Keurig Dr Pepper and J.M. Smucker have raised prices multiple times, with Smucker planning a fourth hike in August, as overall costs continue to escalate.
• Interest in bean‑free coffee alternatives is growing, with startups using food byproducts like broken rice, soy pulp, and fermentation technologies to create affordable, sustainable substitutes—though they currently can only replace up to ~40% of traditional coffee blend to maintain flavor.

Source: Food Dive

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Beverages become essential to consumer wellness routines: report.

• Hydration remains the core focus, according to Numerator’s latest Beverage Behaviors report, 34% of beverage shoppers intend to drink more tap water and 26% plan to consume more bottled or canned water in the coming year.
• Consumers are paying more for wellness-oriented beverages, spending on non‑alcoholic drinks is growing by 6.2% overall, outpacing alcohol’s 2.4% growth, as shoppers seek out drinks with benefits for mood, gut health, and hydration.
• Gen Z drives demand for flavorful, low‑ or no‑sugar drink options, this demographic leads preferences for convenient, flavorful non-alcoholic beverages (like reformulated sodas, energy drinks, kombucha, CBD‑infused drinks), with brands like Poppi and SunSip at the forefront.

Source: Food Dive

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Upsetting the apple cart: Honeycrisp apple prices soar.

• Honeycrisp apple prices have surged due to a 32–40% drop in 2024 crop yields, limited imports, and rising production costs, including labor and freight.
• Retailers are shifting focus to alternative apple varieties like Cosmic Crisp and Pink Lady, while consumers increasingly opt for private-label and frozen fruits to manage costs.
• Despite current shortages, a larger 2025 Honeycrisp crop is expected, but high labor costs and potential trade issues may keep prices elevated.

Source: The Food Institute

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Why agentic AI is the food industry’s next big thing.

• Walmart has launched four “super agents” powered by agentic AI -Sparky for shoppers, Associate for employees, Marty for suppliers/sellers, and Developer for internal AI testing, to transform engagement across stakeholders at the retailer.
• Agentic AI offers food industry businesses stronger operational efficiency and cost savings, enabling improved workflow automation while improving margins and reducing manual errors.
• AI systems can autonomously coordinate across POS, kitchen and delivery, cutting error rates and speeding service, such as reducing average wait time from 15 to 10 minutes, delivering both speed and better customer experiences.

Source: The Food Institute 

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3 Key takeaways from IFT FIRST 2025.

• A shift toward clean-label coloring is underway in response to regulatory changes, such as the U.S. FDA’s revocation of FD&C Red No. 3 authorization by January 2027 and state bans starting in California in 2023, leading manufacturers to explore plant‑based alternatives like Gardenia blue and spirulina-derived pigments.
• Consumer demand is driving food manufacturers to reformulate for lower sugar, sodium, and fat content. Innovations displayed at the show included reduced-sugar slushies using stevia and erythritol, sodium reductions via umami and kokumi ingredient blends, and functional whey proteins that reduce fat/calories while maintaining flavor and texture.
• The growing use of GLP‑1 medications is influencing product development, boosting interest in foods that support satiety and metabolic health. Formulators are designing products higher in protein and fiber and lower in sugar and calories to meet the needs of consumers experiencing appetite and portion changes.

Sources: The Food Institute

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Seaboard’s pork, turkey bright spots in Q2.

• Seaboard's pork division reported an operating income of $28 million in Q2 2025, a significant improvement from a $4 million loss in the same period of 2024. Despite a 2% decline in net sales to $529 million, the segment's profitability was bolstered by favorable market conditions and effective cost management.
• The turkey segment, including Seaboard's investment in Butterball LLC, achieved net sales of $444 million in Q2 2025, up from $407 million in Q2 2024. Operating income increased to $31 million, reflecting higher sales volumes and improved operational efficiency, despite a 7% rise in production costs due to bird health issues.
• Seaboard Corporation's total net sales for Q2 2025 reached $2.48 billion, a 12% increase from $2.20 billion in Q2 2024. The company also invested $260 million in property, plant, and equipment during the first half of 2025, indicating a commitment to long-term growth and infrastructure enhancement.

Source: Meat+Poultry

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Cultivated meat company completes North Carolina plant.

• Believer Meats has completed construction of its 200,000-square-foot cultivated meat production facility in Wilson, North Carolina, which is designed to produce at least 10,000 metric tons of cultivated meat annually.
• The company has received a "No Questions" letter from the U.S. Food and Drug Administration, signaling progress toward commercialization in the United States.
• Believer Meats is collaborating with the U.S. Department of Agriculture to finalize the facility's grant of inspection, a necessary step for market entry.

Source: Meat+Poultry

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The plant-based playbook: Pro athletes invest in vegan brands.

• Prominent athletes like Tom Brady, Ed McCaffrey, Chris Paul, and Mike Tyson have launched or invested in plant-based food brands, including GOAT Gummies, McCaffrey Protein Bites, Good Eat’n, and Mr. Charlie’s Told Me So.
• These athletes are motivated by personal health benefits, such as improved digestion and skin, and a commitment to supporting communities, as seen in Tyson's investment in a vegan fast-food chain that hires individuals from homeless communities.
• Many of these athletes have been following plant-based diets for years, with John Salley being one of the earliest adopters, investing in various vegan brands since the early 2000s.

Source: The Food Institute

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Cobb-Vantress details three new executive hires.

• Will Sawyer has been promoted to Vice President of Global Business Operations and Strategy. He joined Cobb in December 2024 as Managing Director of Global Supply Chain and Strategy. In his new role, Sawyer will lead global planning, marketing, communications, and IT, focusing on alignment and innovation across key business areas.
• Matilde Alfonso has been appointed Vice President of Sales and Technical Services. With over 25 years in the poultry industry, Alfonso brings extensive operational knowledge and a global perspective, having previously held positions at Ceva Animal Health LLC and Tyson Foods.
• Leandro Farias will serve as Managing Director for Finance and Accounting. Farias has more than two decades of finance experience in various sectors, including food and poultry genetics, and has been with Cobb-Vantress Brazil since 2015.

Source: Meat+Poultry

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Chomps opens 300,000-square-foot facility in Missouri.

• Chomps has opened a 300,000-square-foot processing plant in Mexico, Missouri, developed in partnership with Western Smokehouse Partners. This facility is dedicated exclusively to producing Chomps meat snack products.
• The new plant is exected to create 250 full-time jobs, contributing to the local economy and providing employment opportunities in the region.
• With the addition of this facility, Chomps aims to double its production capacity by 2026, building upon its existing six operating plants and currently producing an average of 2 million individually wrapped snack sticks per day.

Source: Meat+Poultry

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Chobani sued by Danone for allegedly copying cold brew packaging.

• Danone has filed a lawsuit in Manhattan federal court, alleging that Chobani’s La Colombe cold brew product copied the “Bright & Mellow” slogan and black‑and‑yellow packaging style used on Danone’s Stōk coffee, calling it “the latest in a long line of efforts… to unfairly compete”.
• Danone claims Chobani’s branding changes after acquiring La Colombe, including swapping “Bright & Flavorful” for “Bright & Mellow” and relabeling from “medium roast” to “light roast”, were deliberate tactics to create consumer confusion and profit from Danone’s goodwill.
• Danone is seeking legal remedies, including a court injunction to stop further use of the similar branding and monetary damages such as all of Chobani’s profits on the infringing products.

Source: Food Dive

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Investment news update: Mondelēz & Hershey collaborate on Reese’s Oreo products.

• Brand Collaboration: Mondelēz and Hershey launch Reese’s Oreo Cups and Oreo Reese’s Cookies, merging two iconic brands to drive consumer excitement.
• Consumer Demand: Products inspired by strong social media engagement and consumer requests for flavor mashups.
• Market Context: Launch aims to boost sales amid slowing consumer spending and increased regulatory focus on product nutrition.

Source: Food Dive

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Jolly Rancher drives growth through innovation into soft candy.

• Explosive Sales Growth: Jolly Rancher sales reached $400M in 2024, up 25% year-over-year, driven by new product formats.
• Successful Innovation Strategy: Expansion into gummies, ropes, and freeze-dried sweets reduced reliance on hard candy, now less than half of sales versus 80% a decade ago.
• Market Position Strengthened: The brand climbed from No. 11 to No. 5 in the non-chocolate sweets category over three years, with strong demand fueling continued momentum.

Source: Food Dive

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Foodservice fuels strong Q2 for Pilgrim’s, sees demand for chicken across retail.  

• Pilgrim’s Pride reported Q2 2025 net income of $355.5 million ($1.49/share), up from $326.3 million ($1.37/share) in Q2 2024, with net sales rising 4.3% to $4.76 billion.
• Prepared Foods sales jumped over 20% YoY, driving record production and prompting a $400 million investment in a new LaFayette, GA facility expected to boost segment sales by over 40%.
• Strong chicken demand across U.S. foodservice, retail, and international markets (Europe and Mexico) fueled growth, with Adjusted EBITDA margin at 14.4%, and Mexico delivering its second-highest EBITDA ever.

Source: Meat + Poultry

JUST FOR FUN

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Kraft Heinz delivers pizza mac and cheese | Hain Celestial expands wellness teas beyond bedtime – Food Dive

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