Hain Celestial has agreed to sell the majority of its international business to private equity group Aurelius for an estimated $323m in cash, separating several established UK food brands from the US-listed company.
The disposal includes Ella’s Kitchen, Hartley’s, Linda McCartney Foods, Yorkshire Provender, New Covent Garden soups, Cully & Sully, and European plant-based beverage brands including Joya and Natumi.
Hain expects net proceeds of between $305m and $310m and intends to use the money to reduce debt. The sale is part of a wider strategic review aimed at simplifying the company around a more concentrated North American operation.
Following completion, Hain’s core portfolio will include Celestial Seasonings tea, The Greek Gods yoghurt, Earth’s Best baby and children’s products, Spectrum cooking oils, MaraNatha nut butters, and Imagine broths.
President and chief executive Alison Lewis said completing the transaction would help Hain “simplify our portfolio” and focus resources on further reducing debt.
The agreement remains conditional. Hain is negotiating with lenders to extend the maturity of its credit arrangements beyond 22 December 2026, and completion of the Aurelius transaction depends on securing that amendment.
Aurelius may terminate the agreement if the necessary change is not obtained within the specified period. Regulatory approvals and other closing conditions also remain outstanding.
If the requirements are met, Hain expects the sale to complete during its fiscal second quarter ending 31 December 2026.
The transaction extends a broader portfolio-reduction programme. Earlier this year, Hain sold its North American snacks operation, including Garden Veggie Snacks, Terra chips, and Garden of Eatin’, for $115m.
That disposal removed a substantial part of the company’s sales base but was intended to improve the focus of the remaining group and strengthen its balance sheet.
Selling the international division goes further by concentrating future management attention and investment largely on North America.
The transaction is particularly significant in Britain because the international portfolio contains brands with long-established positions in supermarkets and household food categories.
Ella’s Kitchen is a prominent name in baby and children’s food, Linda McCartney Foods operates in vegetarian products, Hartley’s sells desserts and preserves, and Yorkshire Provender and New Covent Garden compete in soups.
Aurelius is therefore acquiring a collection of businesses serving different consumer groups rather than a single tightly integrated product category.
That creates opportunities for separate investment but also requires decisions around management, manufacturing, distribution, procurement, and the degree to which the brands should operate as a combined platform.
Hain’s rationale is more directly financial. The company has been under pressure to improve performance, reduce leverage, and simplify a structure assembled through years of ownership across multiple countries and categories.
Consumer-goods businesses often use disposals when the capital and management requirements of a broad portfolio begin to outweigh the benefits of geographic or category diversification.
A smaller group can focus investment on brands with the strongest margins and strategic fit. It also becomes more dependent on those remaining products and markets, reducing some of the diversification previously provided by international operations.
For Aurelius, the transaction creates the opposite opportunity. Private equity investors frequently target corporate carve-outs where businesses may receive more management attention or operate under a different capital structure outside a larger parent.
Carve-outs can be complex to execute. Technology systems, procurement, employees, property, manufacturing agreements, distribution, and central corporate services may all need to be separated or rebuilt.
Maintaining brand performance while those changes take place will be particularly important in food categories where supermarket listings, availability, pricing, and promotional activity can affect market share quickly.
The financing condition adds another layer to the transaction. Hain must secure lender support for its maturity extension before the disposal can complete, linking the sale directly to the company’s broader balance-sheet restructuring.
If completed, the deal will produce two materially different businesses. Hain will become a more concentrated North American health-and-wellness group, while Aurelius will take control of a sizeable collection of UK and European consumer brands requiring a new independent operating structure.
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