Mondelez acquires majority stake in Two-Bite brownie owner Give & Go

The CPG co's strategy to move into growing categories brings it to the bakery section.

Mondelez International is expanding into the bakery section by acquiring a majority stake of baked goods company Give & Go.

Give & Go is a company that distributes products to the bakery sections of grocery stores across North America, likely best known in Canada for its Two-Bite brand, which makes brownies, cupcakes and other baked goods. Give & Go also owns all-natural dessert brand Mason St. Bakehouse, cupcake brand Kimberley’s Bakehouse, Worth Crumb pastries and cookie and gingerbread decorating kit brand Create-a-Treat. The company, which is based in Toronto but also has operations in the U.S., was acquired from funds associated with U.S. private equity firm Thomas H. Lee Partners.

Glen Walter, EVP and president for North America at Mondelēz International, said in an announcement that the acquisition is part of the company’s strategy to quickly establish itself in different areas of the snacking category beyond confectionery and packaged snacks, in which brands like Oreo, Chips Ahoy, Ritz, Cadbury and BelVita sit. With Give & Go in particular, he said the company has a “leading position” with in-store bakery channels, which he describes as large, fast-growing and on-trend.

Other recent acquisitions as part of this strategy include refrigerated nutrition bar brand Perfect Snacks and premium baked goods brand Tate’s Bake Shop. As with those acquisitions, the CPG co. says Give & Go will continue to operate separately while still having access to Mondelez’s insights, procurement and marketing resources to support growth while maintaining the company’s “innovative and entrepreneurial spirit.”

Once the deal closes, Give & Go’s leadership team will continue to run the company with a minority stake. The deal is expected to close in Q2 of this year, pending customary closing conditions and approvals.