Mondelēz International, the maker of Oreo, Chips Ahoy!, Ritz and Triscuit, will take a majority stake in Undercover Snacks. The deal adds a fast-growing gluten-free brand to its better-for-you snack portfolio.

The company announced the Undercover Snacks acquisition on Friday. Financial terms were not disclosed, and the deal is expected to close in the first quarter of 2027.

What Is Undercover Snacks?

Diana Levy founded Undercover Snacks in 2016 to make safe snacks for two of her children, who had been diagnosed with celiac disease. The brand makes chocolate-covered and frosted quinoa crisps from non-GMO, certified gluten-free ingredients. It produces them in a dedicated peanut-free and tree-nut-free facility in New Jersey.

Its products are sold in more than 25,000 retail locations and served on United Airlines flights. The brand also uses Rainforest Alliance-certified cocoa and a solar-powered manufacturing facility.

How the Deal Will Work

Undercover will run as a standalone business within Mondelēz North America Ventures, alongside Perfect Snacks, Tate's Bake Shop and Hu Chocolate. Levy will stay on as CEO. Mondelēz plans to support the brand with distribution to tens of thousands of retailers, as well as procurement, consumer insight and marketing.

Why Mondelēz Wants Healthier Snacks

Mondelēz CEO Dirk Van de Put told analysts the company's portfolio "needs to evolve towards healthier snacks," and called the deal "one step in that direction." He described Undercover as offering "healthy ingredients in disguise." He also said that as consumers age, they will look for "great tasting, better-for-you snacks that support a more active lifestyle."

Levy said the deal is "an opportunity to build Undercover into something much bigger" while keeping the brand's culture and simple ingredients.

Mondelēz Third-Quarter Results

The acquisition comes as Mondelēz reported third-quarter revenue of $9.97 billion, up 2.3%. Latin America led growth at 12%. North America rose 1.1% and Europe fell 3.3%.

The Undercover Snacks deal follows earlier Mondelēz bets on the Luna Bar brand and Tate's Bake Shop. It shows the snack giant is still betting on smaller, healthier brands to drive future growth.

Source: Food Dive