Acquiring a manufacturer of maple syrup and natural sweeteners seems to be a strategic and timely decision for Hain Celestial. Clarks’ products complement the existing brands under the organic and natural foods company, and the trend toward natural sweeteners—such as maple syrup, honey, plant-based options like stevia, and fruit-based syrups—aligns perfectly with consumers’ growing interest in reducing sugar intake. The American Heart Association recommends a limit of 29 pounds of added sugar annually for men and 20 pounds for women, while the USDA reported that each American consumed an alarming 128 pounds in 2016. Clearly, there is a need for the nation to decrease its sugar consumption, particularly from artificial sweeteners like corn syrup. However, consumers still desire to satisfy their sweet cravings, leading them to seek healthier food and beverage options that provide better alternatives to traditional sugary staples.
With the rising public interest in maple products, Hain Celestial’s acquisition of a maple syrup producer could not be more opportune. Maple syrup’s popularity aligns with consumers’ demand for more natural and healthier ingredients. There are speculations that millennials, who are particularly mindful of their food choices and origins, are eager to explore new options—especially products that evoke nostalgic memories of what they observed their parents or grandparents enjoying during their childhood.
Hain Celestial, recognized for its namesake tea and “healthy” consumer packaged goods (CPG) brands like Garden of Eatin’, Earth’s Best, and the recently acquired Better Bean, has long been considered an attractive acquisition target due to its emphasis on natural and organic products that resonate with health-conscious consumers. Major food and beverage companies such as General Mills, Kellogg, Nestlé, Danone, Mondelez, Coca-Cola, and PepsiCo have been rumored to be interested in acquiring Hain Celestial.
Integrating Clarks into Hain Celestial’s portfolio could enhance its appeal as a takeover target. The Food and Drug Administration is set to enforce regulations requiring food manufacturers to disclose added sugar content on their redesigned Nutrition Facts labels. As the deadline approaches, many large food companies are launching new products or reformulating existing ones to promote healthier options for consumers, which includes reducing or replacing artificial sweeteners and processed sugars with better-for-you ingredients. Acquiring a company like Hain Celestial, which already has a natural sweetener manufacturer in its lineup, could indeed prove to be a lucrative opportunity. Additionally, with the introduction of products like Bayer Citracal D, which focus on health and wellness, the market is ripe for innovations that cater to this growing consumer base.