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DAILY BRIEFING | Today's news & insights for the food industry. |
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| In this issue of Daily Briefing | - 🧑⚖️ Albertsons Argues For Merger in Ore. Court
- ⛔ Stuffed Puffs to Close Pa. Facility
- 🐟 New School Closes On $6M Investment
- 🏭 Ardent Mills Grows Colorado Facility
- 🏃 Whole Foods Announces Latest LEAP Cohort
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| 📰 Today's Top Story | | | Hi, Monica Watrous here, managing editor of Nosh, reporting in with top takeaways from the inaugural Newtopia Now event. When New Hope Network announced last fall it was sunsetting Natural Products Expo East and launching a new event in its place, we all had questions. Namely, what is a ‘Newtopia,’ and why ‘Now’?
Early pivots leading up to the show contributed to the confusion. Like its location, date and duration. (It was originally set to take place over three days in Savannah, Ga., in early August; it was then moved to later in the month for a two-day span in Denver, Colo.). As such, many in the industry took a wait-and-see approach on whether to attend or exhibit at the inaugural Newtopia Now. For those of you who missed it, here’s what went down. With an estimated 7,500 registered attendees and 550 exhibiting companies, the vibe was low-key and intimate. We overheard an exhibitor call it “chill but quality.” Several described the event as “Expo West without the riff raff.” As in, a way less congested show with a higher ratio of retail buyers to salespeople and sample scavengers. Several folks told me they were impressed by the quality of booth interactions. Think: Ten-minute conversations (and, in some cases, repeat visits with colleagues in tow) versus hurried, distracted encounters or missed connections. Newtopia Now was designed in the style of a UNFI or KeHE show and offered a much smaller selection of tabletop and booth options (the largest display was 10-feet-by-20-feet). The floor was organized into sections, or “neighborhoods”: Thrive, Regenerate, Glow and Represent. Each area had its own stage with educational sessions related to its respective theme. Granted, there were hiccups in the first year. A selling point of the conference was one-to-one meetings with buyers that exhibitors were required to schedule ahead of the show through a mobile app. Several said they experienced issues with the app or with buyers not responding to meeting requests. A handful of exhibitors also lamented that the layout of the show floor obscured some booths from the flow of traffic. But mostly, the reception was positive – with the exception of one person who told me she “hated it” and it was a waste of time and money – several confirmed they are planning to return next year to the event, which will be held again in August in Denver. (Did you attend Newtopia Now? Or were you on the fence, and why? Will you check it out next year? Share all of your thoughts with me at mwatrous@nosh.com) |
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| ✨ What You Need to Know ✨ | | | The hearing on the FTC’s attempt to temporarily block the proposed $24.6 billion merger between Kroger and Albertsons kicked off on Monday, and so far, the grocers’ opening arguments have painted a bleak picture about what will happen if the deal doesn’t go through.
🗣 Albertsons told a federal judge on Monday that if the deal is blocked, it could result in layoffs and closed stores, claiming the grocery chain doesn’t have the wholesale power to compete with giants like Walmart and Costco on price. The team argued that the fate of the broader grocery market will be much worse off without the deal than with it. 👀 Kroger promised that it would not close any stores or lay off any frontline workers should the deal close. The grocer also said it would invest “billions of dollars” over the next few years to renovate stores and lower prices. 🛒 Meanwhile, the FTC argued the deal would eliminate competition between Kroger and Albertsons, which shoppers and union workers rely on, “in one fell swoop.” The agency also slammed Kroger’s plan to divest nearly 600 stores and other assets to C&S Wholesale Grocers, a move made to appease antitrust regulators reviewing the deal. Catch up on the latest in the grocery store saga on Nosh. |
| | | As a result of its acquisition by Mount Franklin Foods, announced yesterday, filled marshmallow snack maker Stuffed Puffs will shutter the doors of its Bethlehem, Pa., facility.
🏭 The closure will affect 106 employees. Operations are expected to begin to wind down on Oct. 26, per a WARN notice submitted by the company to the Department of Labor & Industry. The closure will be completed by Nov. 9. 👀 According to the Stuffed Puffs website, “all of our products are made at our factory in Bethlehem.” Learn more about the acquisition and its impact in the full story on Nosh. |
| | | New School has just secured $6 million in new capital, according to an announcement this morning. The plant-based, whole-cut salmon producer also unveiled its new 28,000 sq. ft pilot production facility in Toronto to begin production ahead of a launch in U.S. and Canadian restaurants.
💰 The seed round extension brought in funds from Inter IKEA (yes, that IKEA), Good Startup, NewTree Capital and Hatch and built on previously announced non-dilutive capital from Protein Industries Canada. 💪 The new production facility hosts the company’s patented “Scaffolding & Directional Freezing” technology to replicate muscle fibers and connective tissue. New School emphasized that the process is scalable due to its use of off-the-shelf equipment, noting it can also create other types of whole-muscle products. 🤔 “New School Foods is a true pioneer in the alternative protein industry, and we were impressed by the team, their products and the production technology they’ve developed. We are curious to explore and learn more about the potentials for plant-based alternatives,” said Robert Carleke, Innovation Ventures Manager at Inter IKEA. |
| | | Flour milling and ingredient provider Ardent Mills announced this week it will expand its Commerce City, Colo., mill in addition to updating existing equipment and increasing production capacity.
🌾 The company, which currently produces flour, quinoa, pulses, and organic and gluten-free products, has operated in the Denver-metro area for the past decade. Ardent Mills has over 40 locations across North America and employs more than 100 certified millers. ⚙️ The Colorado mill has been operational since 1930, and it has been operating at its current capacity since 1999, according to the release. 🗣️ What they said: "In the last two decades, this region has experienced significant population growth which has led to more demand for food manufacturing and supply. This project will enable Ardent Mills to incorporate the necessary growth needed to optimally serve the market today and in the future.” – Sheryl Wallace, CEO of Ardent Mills |
| | | This week Whole Foods Market announced the participants for its latest Local and Emerging Accelerator Program (LEAP) Early Growth track cohort.
🆕 The cohort includes 10 brands not yet sold at Whole Foods: Aahana’s, Bowlcut, Date Better Snacks, Edenesque, Freezcake, Geem, Maté Party, Sam + Leo, Sibeiho, and Tuyyo Foods. 📚 Once the 12-week-long curriculum is complete, the brands will be considered for regional or local placement at Whole Foods stores. Participants are also eligible for a $25,000 equity investment from a donor-advised fund overseen by the Austin Community Foundation. 📈 According to Whole Foods, the program is getting increasingly more competitive. It received over 1,600 applications for the Early Growth cohort, a 60% increase compared to 2023. |
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