US-based company Mondelēz International has signed an agreement to acquire a majority stake in Give & Go Prepared Foods, a Canadian producer of baked goods.

Mondelez International finance the acquisition through funds affiliated with Thomas H Lee Partners.

Neither party has divulged any financial details.

It expects to complete the deal in the second quarter of 2020.

Through this acquisition, Mondelēz International intends to improve its presence in the wider snacking sector.

In operation since 1989, Give & Go’s brands include Two-bite and the Create-A-Treat, which produce cookie and gingerbread house decorating kits.

Mondelēz International expects Give & Go’s brands to complement its portfolio of global and local brands, such as Cadbury, Milka, Oreo and belVita.

Mondelēz International North America executive vice-president and president Glen Walter said: “Give & Go’s leading position in the large and fast-growing in-store bakery channel gives us a unique opportunity to expand into new, on-trend consumer spaces.

“Similar to our recent acquisitions of Perfect Snacks and Tate’s Bake Shop, this is yet another great example of our bolt-on acquisition strategy to establish foundations in faster-growing snacking adjacencies. We look forward to working with Joel Flatt and the entire Give & Go management team to build upon their strong success.”

Give & Go CEO and president Joel Flatt said: “We are now very excited to be joining the Mondelēz International family and this amazing portfolio of iconic snack brands.

“There are significant opportunities for us to accelerate the growth of our business by leveraging Mondelēz International’s unique capabilities and our shared desire to invest in innovation that drives consumer engagement and deeper strategic retail partnerships.”

Give & Go’s management team will maintain a minority stake in the company and continue to operate the business from its current base.

The company will continue to manufacture its products at its existing facilities.

Earlier this week, the US-based frozen baked goods manufacturer Sara Lee Frozen Bakery agreed to acquire Cyrus O’Leary’s Pies. This acquisition forms part of the company’s plan to expand its in-store bakery profile.

Sara Lee Frozen Bakery expects to close the deal by the end of March.

Cyrus O’Leary’s Pies began as a restaurant in 1981 and expanded into a national gourmet pie brand.