Vancouver, Canada-based Modern Meat announced the planned acquisition of plant-based soup company Kitskicthen Health Foods, further expanding its plant-based portfolio. Kitskitchen will join Modern Meat’s line of 100 percent vegan, GMO-free meat alternatives and its newest line of dairy alternative milk, featuring Oat M*lk, Almond M*lk and Barista Edition Alternative M*lk.
Founded in 2013, Vancouver-based Kitskitchen is led by an all-female team of health-conscious soup lovers. Co-founders Joni Lind and Amy Kaye embraced the ever-expanding local food movement and decided to use only locally-sourced ingredients in their wheat-, dairy- and additive-free soups. Expanding into the US market and currently sold in 135 retailers across Western Canada, Kitskitchen is expected to generate nearly $1 million in revenue in 2021.
“We always keep an eye out for high quality companies that share the same vision. It’s important that the owners/management also share the same values and are enthusiastic about their products,” Tanya Todd, Director of Corporate Communications at Modern Meat told Xtalks. ” Kitskitchen is a known, established and trusted brand. We realized that coming together would provide many synergies. Joni (Kitskitchen) and I are both huge advocates of the plant-based lifestyle and the more we chatted it was revealed how incredibly aligned we are.”
Kitskitchen soups are sold in 500 mL jars and one-liter bags and come in a variety of flavors, including (No) Cream of Mushroom and Cracked Pepper, Green Goodness and Curry Lentil and Veggie. Its soups are packed with collagen and easily absorbable vitamins and minerals to help balance bacteria, stimulate digestion and boost the immune system.
“The acquisition unites us with a well-established brand with an attractive growth profile. Kitskitchen product and management aligns with Modern Meat’s philosophy of the fast-growing plant-based space,” said Tara Haddad, CEO of Modern Meat in a press release. “We feel the ready-to-eat category in the plant-based space is underexplored. By acquiring a well-recognized local brand and putting our financial resources behind it, I feel we can grow the sales of Kitskitchen significantly.”
Modern Meat and Kitskitchen have remarkably similar startup stories. Both companies’ founders noticed a lack of health-forward plant-based alternatives and strove to eliminate the amount of processing that is generally required to create such products. Both are deliberate in choosing 100 percent natural ingredients that benefit their consumers, animals and the environment.
“Kitskitchen is a strategic acquisition for our company as it has established a great local following with consumers and has a broad existing distribution with many online and large grocery chains,” said Campell Beecher, Head of Finance and Mergers and Acquisitions of Modern Meat in a press release. “By implementing our financial expertise with the Kitskitchen team, we will be looking to grow its revenues and develop it into a national brand.”
In addition to the acquisition of Kitskitchen, Modern Meat will mark several milestones this year.
“We’ve had a ton of interest from retailers and consumers in the US wondering when we will be available! Things are moving fast and Modern Meat has struck a co-packing agreement with Real Vision Foods of California to grow business in the United States. Real Vision is able to produce up to $25 million worth of total Modern Meat products annually through its facility,” Todd said.
With consumers demanding more plant-based products that enable healthier lifestyles, Modern Meat’s goal is to become the leader in the plant-based space through continued product innovation and an expansive global distribution network.