Hearthside’s Boise Nutritional Bar Facility Begins Production as 9th Bar Plant in 24 Plant Network

hfs-boise-2016DOWNERS GROVE, IL – September 28, 2016, Hearthside Food Solutions (“Hearthside”) today announced their Boise Idaho nutritional bar facility had commenced production, bringing new US bar capacity and additional jobs to the Boise market. Hearthside now operates nine bar plants in the US and Europe.

This bar production facility, idled shortly before being acquired by Hearthside in late 2015, enables the company to add immediate US capacity to its growing bar network. Hearthside moved swiftly to rehire local plant leadership, retrofit, upgrade and restart the reconfigured plant. With an experienced team in place, the timetable was accelerated, enabling the plant to begin production ahead of schedule.

Line #01 of this multi-line facility began production this week. The 185,000 sq. ft. plant, located at 7031 S. Eisenman Road, Boise Idaho, will employ approximately 168 when it reaches full production.

At the time of this acquisition, Hearthside also acquired VSI, the largest nutritional bar producer in Europe. In addition to capacity, the VSI acquisition brought additional R&D, formulation, and food science capabilities. The Boise facility enables the company to better leverage VSI expertise in the North American market.

“This commencement validates our forward-looking investments in strategic contract manufacturing resources, providing customers with increased options and greater supply chain value,” said Rich Scalise, Hearthside Chairman and CEO. “We will continue to invest and expand our world-class manufacturing network to meet the demands of premier food companies.”

Hearthside Food Solutions, based in Downers Grove IL is the industry’s largest independent bar producer and largest contract manufacturer, producing bars and other foods for leading companies.

“This facility enables continued growth; adding new customers in the rapidly growing nutritional, sport, and breakfast bar markets,” said Dwayne Hughes, SVP supply chain. “Boise is a strong, business-friendly market with a skilled workforce, outstanding infrastructure and easy access to the rest of the nation. We are proud to be part of the Boise community.”

Hearthside Food Solutions, headquartered in Downers Grove, Illinois, is the largest independent baker in the U.S. and a full-service contract manufacturer of high quality, grain-based food, snack products and packaging for some of the world’s leading premier brands. Hearthside operates 24 production facilities in the US and Europe.

Hearthside Food Solutions Acquires Oak State Products

DOWNERS GROVE, IL – August 2, 2016 — Hearthside Food Solutions (“Hearthside”) today announced the acquisition of Oak State Products (“Oak State”), a privately held contract manufacturer of cookies, bars and other baked foods located in Wenona, Illinois. The Oak State production facility brings the Hearthside production network to a total of 24 facilities.

The acquisition will enable the company to add immediate baking capacity as the demand for food contract manufacturing continues to grow. Terms were not disclosed.

Hearthside, with 20 production facilities in the U.S. and three in Europe, is the largest contract manufacturer of bars and baked goods in North America and the largest producer of functional bars in the E.U. The Oak State acquisition will add one additional U.S. manufacturing location, bringing the network to 24 facilities.oakstatelogogreenwhite

“Oak State represents an opportunity to add instant capacity to our network. Their flexible production lines complement our existing large scale lines, creating additional options for our customers,” said Rich Scalise, Hearthside Founder and Chairman. “We see synergies in operations, cultures and customers. Most importantly, Oak State is already a mature, well-run operation. We anticipate a smooth and rapid integration.”

Both Hearthside and Oak State are contact manufacturers for premier food companies and global brands.

“This is a functioning operation with an active customer base. It would take two years or more to accomplish this with a greenfield option,” said Dwayne Hughes, Hearthside SVP of Supply Chain. “Instead, we can immediately focus on bringing the facility up to our world-class manufacturing standards, implementing our HPS continuous improvement system and SAP platform.”

About Hearthside Food Solutions
Hearthside Food Solutions, headquartered in Downers Grove, Illinois, is the largest independent baker in the U.S. and a full-service contract manufacturer of high quality, grain-based food, snack products and packaging for some of the world’s leading premier brands. Prior to the acquisition, Hearthside operated 23 food-manufacturing facilities in eight states. In 2014, Hearthside was acquired by the Merchant Banking Division of Goldman Sachs and Vestar Capital Partners. For more information on Hearthside Food Solutions, visit www.hearthsidefoods.com.

Baking Business: Hearthside searches for ‘creative’ solutions at iba

HearthVSI_EmbeddedMUNICH, GERMANY – iba 2015 show – In a live interview with Rich Scalise by Dan Malovany of Baking Business, the chairman of Hearthside food solutions discusses the recent acquisition of VSI, the expansion of Hearthside into Europe, the evolving contract manufacturing and contract packaging industry, and how consumer preference drives the entire food industry.

Hearthside searches for ‘creative’ solutions at iba | Baking Business | Baking Industry News and Opinions

For Rich Scalise, chairman and chief executive officer of Hearthside Food Solutions, attending iba 2015 for the first time has new meaning since the Downers Grove, Ill.-based company agreed to acquire VSI, Leerdam, The Netherlands, from NPM Capital in August. VSI, which is the largest European producer of nutrition, diet and functional bars, expanded Hearthside’s presence in the bar category beyond North America.

“Our acquisition is around energy and nutrition bars, and there is a lot of crossover between the two companies,” he noted. “It’s not about regional tastes and profiles as much as it is about consumer trends.”

When it comes to health and wellness, he added, those trends are burgeoning globally. Along with the acquisition of VSI, the purchase of a former PowerBar production facility in Boise, Idaho, will allow Hearthside to rapidly scale up VSI’s formulations and product development to full-scale production in the Americas. At iba, Mr. Scalise is searching for “new creative approaches” to bring product innovation to both the European and North American markets.

(click here to read the full story on Baking Business News – may require free registration)

Hearthside Announces Two Strategic Acquisitions; Expands to Europe and into New Bar Categories

bars-proteinHearthside Food Solutions Acquires VSI, Europe’s Largest Sports / Energy Bar Manufacturer; Also Acquires Additional U.S. Bar Production Facility

DOWNERS GROVE, IL — August 24, 2015 — Hearthside Food Solutions (“Hearthside”) today announced two separate, definitive agreements enabling the company to expand rapidly in the fastest-growing bar categories in the Americas and Europe. Under one agreement, Hearthside is acquiring VSI, the largest European producer of nutrition, diet, and functional bars. In a separate agreement, Hearthside is acquiring a nutritional supplement bar production facility in Boise, Idaho from a subsidiary of Post Holdings, Inc. (“Post”). These two transactions will enable the rapid scaling of VSI’s formulations, R&D, product development, and full-scale production in the Americas. Terms were not disclosed. Both transactions are expected to close in September of 2015.

Hearthside, with 19 U.S.-based facilities, is currently North America’s largest contract manufacturer of bars and baked goods. The VSI acquisition adds three European manufacturing facilities for nutrition, diet, and functional bars as well as best-in-class R&D, formulation, and innovation capabilities.

U.S. bar growth predictions from market research firm Mintel show continued category strength driven by convenience, snacking occasions, and meal replacement trends. The strongest growth is in health-related bar categories, including sports, functional, diet, and nutrition.

“This is both a category and geographic expansion, putting Hearthside into the three fastest-growing bar categories as well as in the European market, where VSI is a leader,” said Rich Scalise, Hearthside Founder and Chairman. “The R&D and production expertise of VSI in the fast-growth categories of nutrition, diet, and functional bars enables Hearthside to take a quantum leap forward, providing our customers with the most complete offerings in the industry.”

The acquisition of a recently idled nutritional supplement bar production facility in Boise, Idaho, enables Hearthside to begin production of these new categories in the Americas quickly. This facility, plus the three VSI operations, expands Hearthside’s network to 23 facilities.

“It takes two years from greenfield to operational bar plant,” said Dwayne Hughes, Hearthside SVP of Supply Chain. “We wanted VSI capacity in the North American mix more quickly. This facility is ready to go today. The timing, the location, and the state-of-the-art equipment provides a perfect solution that makes us competitive in more bar categories immediately.”

Both Hearthside and VSI are contract manufacturers for premier food companies and global brands. The companies see no redundancies or conflicts in complementary customers and product offerings.

“This is the right move for VSI at the right time,” said Gerard Janssens, CEO of VSI. “Our people, our leadership team and our customers all benefit from this acquisition. We will be able to do more things for more customers in more places. For example, we can design, formulate, and commercialize a new bar, then produce it for customers in Europe and the Americas. This combined bar development and delivery platform sets new standards in the contract manufacturing industry.”

In 2014, Hearthside was acquired by the Merchant Banking Division of Goldman Sachs and Vestar Capital Partners.

About Hearthside Food Solutions

Hearthside Food Solutions, headquartered in Downers Grove, Illinois, is the largest independent baker in the U.S. and a full-service contract manufacturer of high quality, grain-based food and snack products for some of the world’s leading premier brands. Prior to these acquisitions, Hearthside operated 19 food-manufacturing facilities in eight states. For more information on Hearthside Food Solutions, visit www.hearthsidefoods.com.

Contacts

For Hearthside Food Solutions
Carl Melville, 760-671-1110
carl.melville@melvillegroup.com

 

Hearthside investing $10.7M, adding 91 Grand Rapids jobs

mibizJune 24, 2015 – MiBiz – Downers Grove, IL -based food processor Hearthside Food Solutions LLC intends to invest $10.7 million and add 91 jobs over three years at its Kentwood facility on 32nd Street.

The contract manufacturer and bakery plans to invest in both building renovations, equipment and capacity to meet customer demand, according to a statement from Grand Rapids-based economic development agency The Right Place Inc. Hearthside is the largest contract food manufacturer in North America.

The company was awarded a $450,000 performance-based grant from the Michigan Business Development Program, administered by the Michigan Economic Development Corporation.

“West Michigan continues to be part of Hearthside’s long-term strategy of providing superior independent baking services for the world’s premier consumer brands,” said Matthew Sagendorf, vice president of engineering at Hearthside in the statement.

Hearthside operates 19 facilities in seven states and has four in the Grand Rapids area. In 2014 the company was acquired by the private equity arm of Goldman Sachs Group Inc. and Vestar Capital Partners Inc.

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