Heartland Food Products Group will be acquiring the artificial sweetener brand Splenda from Johnson & Johnson (J&J) subsidiary McNeil Nutritionals for an undisclosed amount.
Splenda sweetener products contain sucralose, a no-calorie sweetener and can be used as an alternative for sugar. Sucralose is produced from sugar that has been chemically altered to make it calorie-free.
While the details of the transaction were not disclosed, the deal is expected to be completed before the end of the year.
"The acquisition of Splenda further enhances our ability to offer our consumers products that support their growing desire to live healthier lives."
The sale is aimed at enabling J&J concentrate on key consumer areas, including baby care, pain care and oral care.
Heartland chairman and CEO Ted Gelov said: "Splenda fits well within our strategy to offer the very best tasting products to sweeten foods and beverages without adding calories. The acquisition of Splenda further enhances our ability to offer our consumers products that support their growing desire to live healthier lives."
Reuters had reported in December that J&J was considering sale of the unit in wake of weakening sales of soft drinks and increase in competition.
Introduced in 1999, Splenda was jointly developed by McNeil Nutritionals and UK ingredients firm Tate & Lyle that still supplies sucralose. The product has now overtaken sweeteners containing saccharin and aspartame, achieving annual sales of $300m.
Heartland primarily produces and markets low-calorie sweeteners, drink mixes, coffee, and nutritional beverages.
