Kellogg Co. will acquire Chicago Bar Co. LLC, maker of clean-label protein bar line RXBAR, for $600 million.
RXBAR, which has become the fastest growing nutrition bar brand in the United States, is on pace to $120 million in 2017. While continuing to operate independently, the company will leverage Kellogg's resources to drive growth once the transaction closes this year, Kellogg said in a news release.
Kellogg Co. CEO Steve Cahillane called RXBAR a “unique company,” noting its Millennial customer base and diversified channel presence will allow it to perform well against future food trends.
“Its values, people and cutting-edge approach represent an exciting opportunity for our business,” he said. “Adding a pioneer in clean-label, high-protein snacking to our portfolio bolsters our already strong wholesome snacks offering. RXBAR is an excellent strategic fit for Kellogg as we pivot to growth.”
With a base of egg whites, fruit and nuts, each RXBAR provides 12 grams of protein in 210-220 calories. They’re available in 11 different flavors, with additional seasonal and limited-time varieties. The company also recently launched RXBAR Kids, which contain the same core ingredients as RXBARs but in kid-friendly flavors and portions.
"We carefully considered who the right partner would be for RXBAR's future,” said Peter Rahal, RXBAR ceo and co-founder. “We have always been committed to delivering the highest quality products that taste great, and being radically candid and transparent with our consumers, and these priorities remain. Joining Kellogg is not only a great cultural fit, but it provides us with the tools and resources to accelerate our growth so the brand can scale even faster than it is today.”