- Campbell Soup is undergoing an operational review in which it will assess the entirety of its portfolio.
- Its "no sacred cows" approach has left industry sources wondering whether the soup company could put itself up for sale.
- The company's iconic cans are a fixture of American culture.
Campbell Soup was founded shortly after the Civil War, and for the majority of its lifespan has been a family company.And this morning, again from CNBC:
It's uncertain how much longer it will remain one.
The soup company is undergoing an operational review that will assess the entirety of its portfolio. While a "no sacred cows" approach has left industry sources wondering whether the soup giant could put itself up for sale, the company has weathered such speculation before. Every time that speculation has arisen, Campbell — and the family that together comprises its largest shareholders — has opted to keep it a family heirloom.
Times have changed. The descendants of John T. Dorrance — the man who many say invented condensed soup — are now in their fourth generation. Some of his family members have decreased their stake in the soup company. Many have not worked for it for extended periods of time.
Campbell's problems are many, and growing. Retailers like Walmart, which once needed Campbell on its shelves, have lost patience with its declining soup sales. It also faces competition from upstart brands that appeal to the younger generation's focus on health and newness.
Its once arch-enemy, The H. J. Heinz Company, was acquired by Berkshire Hathaway and private equity firm 3G Capital back in 2013. Heinz went on to merge with Kraft Foods Group in 2015 to create Kraft Heinz. As of Friday's market close, the ketchup and snack giant has a market capitalization of over $73 billion, compared to around $12 billion for Campbell....MORE
Campbell Soup plans to sell international and fresh food businesses, remains 'open' to sale
- Campbell Soup reveals its plans to turnaround the company after announcing a top-to-bottom strategic review in May.
- The company is selling its fresh food business, including Bolthouse Farms, as well as its Arnott's and Kelsen brands overseas.
- Activist shareholder, Dan Loeb is calling for Campbell to sell itself.
We don't much care for these so-called food companies having posted on General Mills and Kellogg in particular as the stocks were halved over the last couple years. Here's our last post on Campbell Soup, May 2018:
More Trouble In U.S. Packaged Food: Campbell Soup Down 12% (CPB; GIS; K)
