Salty snacks maker Utz Quality Foods has signed a definitive agreement with Conagra Brands to acquire certain assets of HK Anderson business.

HK Anderson is a major brand of peanut butter-filled pretzels.

According to the agreement, Utz Brands subsidiary Utz Quality Foods will acquire only the intellectual property HK Anderson brand. The deal does not include employees, facilities or equipment.

The purchase price of the assets, which is less than $10m, will be funded by the company using the available cash-on-hand.

Subject to customary closing conditions, the deal is expected to close in November.

The deal will mark Utz’s foray into the filled pretzel segment.

Utz currently offers a range of savoury snacks under various brands, including Utz, Golden Flake, Zapp’s, Good Health, Boulder Canyon, Tortiyahs!, and Hawaiian Brand.

It operates 14 facilities in the US in Pennsylvania, Alabama, Arizona, Illinois, Indiana, Louisiana, Washington, and Massachusetts.

Utz Brands CEO Dylan Lissette said: “The approximate $100m filled segment of pretzels is ripe for innovation and growth.

“As we look to increase our share in the rapidly expanding salty snack category through new products and geographic growth, this type of acquisition is tailor-made for the synergies and growth opportunity afforded by our platform.”

Last month, Utz Quality Foods and special purpose acquisition company Collier Creek Holdings completed the merger of two businesses to create a new pure-play snack food platform in the US, called Utz Brands.