PepsiCo to buy tortilla chip maker Siete Foods for $1.2 billion

Core Insights - PepsiCo is acquiring Siete Foods for $1.2 billion, marking its first food acquisition in approximately five years [1] - The acquisition aligns with PepsiCo's strategy to diversify its portfolio towards healthier food options [1][4] - Siete Foods, founded in 2014, offers a range of grain-free products catering to various dietary needs, and its products are available at major retailers [2] Company Strategy - The acquisition is part of a broader trend among packaged food companies seeking growth through acquisitions as consumer purchasing patterns shift [4] - PepsiCo aims to enhance its multicultural portfolio with Siete's products, which are designed to appeal to a diverse consumer base [3] Market Context - The deal is expected to close in the first half of 2025, pending regulatory approval [3] - Other recent significant acquisitions in the industry include Mars' planned acquisition of Kellanova for nearly $36 billion and Campbell Soup's acquisition of Sovos Brands for $2.7 billion [4]