Diamond Foods Acquires Kettle Foods

SAN FRANCISCODiamond Foods, Inc. has completed its acquisition of Kettle Foods from Lion Capital LLP.

Under the terms of the agreement, Diamond paid $615 million in cash for Kettle Foods. The transaction was funded by the net proceeds from Diamond's recent common stock offering, borrowings under a new five-year $600M credit facility and existing cash resources.

"The addition of Kettle Foods greatly strengthens our presence in the snack market, and we are proud to officially welcome them to our family of brands," said Michael J. Mendes, Chairman, President and CEO of Diamond Foods. "Kettle has been an innovator in the premium natural potato chip category and is a brand which has demonstrated strong growth. We look forward to investing in the Kettle brand to further build its footprint and foster long-term success."