Kroger Co., one of the largest US retailers, has just closed a deal with Home Chef, a Chicago-based company popular for its meal kits. A company spokesperson declared that Home Chef was bought for $200 million.
Kroger Co. to Sell Even More Meal Kits in Supermarkets
After many months spent at the negotiation table, Kroger Co. finally managed to purchase Home Chef, a Chicago-based company that manufactures and sells home meal preparation kits.
With the deal signed and sealed, Kroger’s looking forward to a $500 million yearly revenue. According to Home Chef’s 2017 income report, the company managed to rake a quarter of a billion dollars last year from meal kits.
A company representative declared that after the legal finish dotting I’s and crossing the T’s, even more, Home Chef meal kits would hit the shelves.
This was not the only good thing that came after the acquisition. According to Kroger’s spokesperson, the two companies will also engage in a friendly customer database exchange which will help Kroger gather more information about customers’ preferences.
Home Chef’s Meal Kits were meant to be a great hit from the very beginning. The idea behind the whole gig was that anyone could prepare a healthy and nutritious meal with the right ingredients.
Thus, the meal kits were born – a cardboard box which contains everything you needs to cook a meal like vegetables, spices, or meat. Of course, the kit would have been incomplete without a user-friendly ‘manual.’
Probably one of Home Chef’s biggest pluses were its price tags. With a price of $10, it doesn’t take much to figure out how the company managed to rake $250 million last year.
So, after Kroger’s announcement, we can be sure that more Home Chef Meal kits will be available in one of 525 stores owned by the Cincinnati-based supermarket giant.
Image courtesy of Home Chef