Utz Brands sells Bluffton production facility
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Pennsylvania-based snack maker Utz Brands Inc. has sold its manufacturing facility in Wells County. The company said the move is part of a series of optimization initiatives to reduce costs and support long-term growth.
The facility primarily produces products associated with the company’s TGIF brand, as well as some of its kettle chip brands. The plant was sold to Florida-based Super-Pufft Snacks USA Inc., which already served as a co-manufacturing partner for Utz.
Financial terms of the sale were not immediately disclosed.
As part of the sale, Utz entered into a new co-manufacturing partnership with Super-Pufft, under which the new plant owner will manufacture certain TGIF brand products. However, Utz said it eventually plans to move that production to one of its own manufacturing facilities.
It is not clear how many people work at the Bluffton plant and if any jobs will be affected by the sale. Utz did not respond to multiple requests for more information from Inside INdiana Business.
As part of the optimization plans, Utz is also ceasing operations at Carlisle Street Plant in Hanover, Pennsylvania, which it described as its lowest-volume manufacturing plant, early next year.
The company also plans to sell its Louisiana manufacturing plant that has been idled after sustaining irreparable damage from Hurricane Ida in 2021, as well as its Alabama plant, which closed in June.
Once all of the actions are completed, Utz said it will have 13 active plants in its portfolio.
“The sale and closures are expected to drive increased net sales averages in its remaining plants,” the company said in a news release. “The volume from these closed facilities is expected to be absorbed by the remaining plant network and should reduce fixed overhead and drive efficiencies in manufacturing conversion costs.”
You can learn more about the company’s plans here.