Hain Celestial has agreed to sell its International business to global private equity firm Aurelius for an estimated $323 million (£241m) in cash, as part of a strategic review aimed at simplifying the group and reducing debt.
The transaction will include the majority of Hain’s International operations and a portfolio of brands with a significant presence in the UK, including Ella’s Kitchen, Hartley’s, Linda McCartney Foods, Cully & Sully, Yorkshire Provender and New Covent Garden soups. It will also include plant-based beverage brands Joya and Natumi.
Hain expects to receive net proceeds of between $305 million and $310 million from the deal, which will be used to reduce its debt.
Alison Lewis, president and CEO of Hain Celestial, said the sale would allow the company to focus its resources on its North American business, which will retain brands including Celestial Seasonings, The Greek Gods, Earth’s Best Organic, Spectrum Organic, MaraNatha and Imagine.
“Completing the transaction would advance our strategy to simplify our portfolio and enable us to focus our resources on further reducing the company’s debt,” said Lewis.
She added that the resulting North American business would have a “more streamlined operating model and greater focus on core growth opportunities”.
Lewis also praised the teams behind Hain’s International brands, saying they had “built remarkable brands” that the company expects to thrive under new ownership.
The deal remains subject to closing conditions, including regulatory approvals and Hain securing an amendment to its credit agreement to extend its maturity date beyond 22 December 2026.
Aurelius may terminate the agreement if the amendment is not secured within 30 days of signing. Hain said there was no assurance that the amendment would be obtained.
Subject to the conditions being met, the transaction is expected to close in Hain Celestial’s fiscal second quarter, ending 31 December 2026.
Alongside the proposed sale, Hain is implementing cost reduction measures as it reshapes the business around its future North American operation. The company expects these measures to generate approximately $16 million in annualised savings compared with fiscal 2026.