By Josephine Walker | Bloomberg
Gary Erickson was provided a tantalizing sum from Quaker Oats in 2000 to promote Clif Bar & Co., his upstart energy-bar maker: $120 million.
He walked away. As the corporate’s web site put it: “CLIF Is Not For Sale.”
Twenty-two years later, that calculus has modified. Erickson and his spouse, Package Crawford, this week accepted a $2.9 billion buyout from snack big Mondelez Worldwide Inc. As soon as accomplished, the acquisition will catapult the California-based couple into the category of self-made billionaires.
By rebuffing the sooner supply and taking Mondelez’s deal, Erickson and Crawford have banked a 2,400% achieve from retaining the energy-bar firm household and worker owned for the reason that flip of the century. They prolonged 20% of their shares to staff as a retirement profit in 2010, whereas retaining the remaining 80%.
The couple’s mixed stake could be value about $2.3 billion earlier than taxes, although federal and state capital features taxes would scale back their windfall to $1.55 billion. The household additionally operates White Highway Investments, a sustainable enterprise capital agency, and an natural vineyard and farm in California’s Napa Valley.
Erickson and Crawford didn’t reply to requests for remark.
Mondelez, the Chicago-based maker of Oreos and Cadbury candies, stated that Clif will proceed working from its headquarters in Emeryville, California, and also will hold its amenities in Indianapolis and Twin Falls, Idaho.
Erickson has stated he received inspiration for a greater tasting vitality bar after a 175-mile bike experience, spending six months in his mom’s kitchen to search out the primary recipe for his flagship Clif Bar, named after his father Clifford. Its manufacturers have expanded to incorporate Luna, which is geared toward ladies, and Clif Child for kids.
Erickson and Crawford named Sally Grimes, previously a bunch president at Tyson Meals, as chief govt officer in 2020, noting that “her observe document for revolutionary considering will assist take us to the following degree.”
“Their give attention to the lengthy sport is inspiring and provides countless potential,” Grimes stated within the assertion asserting her as CEO.
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