Deliciously Ella has agreed to a “transformational” takeover by Swiss multinational Hero Group for an undisclosed price, with plans to supercharge sales in the UK and overseas, The Grocer can reveal.
Founders Ella Mills and husband Matthew, who is CEO at the healthy snacking brand, will remain with the company under the new ownership to lead the next stage of growth.
The deal will provide Hero with a platform to enter the UK snacking market, expanding on its current presence in the country in the babyfood category with the organic Organix brand, which it acquired in 2008.
Hero said Deliciously Ella – which has sold more than 100 million products since 2016 and is preparing to launch its oat bars in the US with Whole Foods Market – would be able to reach millions more customers across the world with its backing.
“Our multi-year strategy has focused on bringing brands that fit within our core categories with the aim of fulfilling our mission to bring natural, healthy food to consumers,” said Hero CEO Rob Versloot.
“Deliciously Ella is a perfect fit for us, and we are particularly happy to have them on board.”
Ella Mills added: “We are incredibly excited to partner with the Hero Group. What started as a small recipe website and a cookbook has become something bigger than either of us could have imagined.
“We have had numerous approaches to sell or partner with other food companies over the years, but only this one felt right.
“As a family-owned business, with a long-term view that aligns with our thinking, Hero Group are the right fit for us.
“Hero has brands all over the world and a proven track record in helping brands reach much greater scale. This is a transformational moment in bringing our natural, plant-based ranges to more people, both in the UK and abroad.”
Mills launched Deliciously Ella in 2012 as a blog in response to the onset of a sudden debilitating illness. She began creating healthy, plant-based recipes to change her diet and improve her health.
The business quickly expanded into a multimillion-pound brand as Mills released a bestselling cookbook in 2015 and launched its first food products (a range of energy balls) into supermarkets in 2016.
The grocery range today is made up of about 100 SKUs, including oat and trail mix bars, breakfast cereals, chocolate-covered nuts and other snacking products, and stocked by the likes of Tesco, Sainsbury’s, Asda, Ocado and Co-op.
It also runs a recipe and wellness app.
In 2022, Deliciously Ella partnered with Waitrose to launch the cross-category Plants sub brand, which includes soups, yoghurts and nut butters. The group also operates a vegan restaurant in central London under the Plants name.
The Plants brand and restaurant are not included in the acquisition and will be carved out, while the media business with the books and podcast are also not part of the deal.
Revenues at the profitable group have grown to £24m in 2023, according to the most recent set of accounts at Companies House.
In December last year, the business also acquired its co-manufacturing partner in a rescue deal to secure its supply chain.
Founded in 1886, Hero today generates annual turnover of CHF1.2bn (£1.1bn) and operates in the baby & toddler, spreads and snacking categories with brands such as Corny, Schwartau, Organix, Beech-Nut and Semper.
Under Hero’s ownership, the Organix brand in the UK has almost doubled in size and recorded revenues of more than £40m in 2023.
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