04:06 PM EDT, 10/01/2024 (MT Newswires) -- PepsiCo ( PEP ) agreed to buy Garza Food Ventures, which does business as Siete Foods, for $1.2 billion, a deal that is expected to expand its food offerings.

The acquisition is expected to close in the first half of 2025, pending regulatory approvals.

Garza Food Ventures makes tortillas, salsas, seasonings, sauces and snacks through the Siete brand. Its products are sold in grocery and club stores, as well as organic food retailers primarily in the US.

"We look forward to expanding our multicultural portfolio with these incredible products and even more consumers discovering and enjoying Siete," said PepsiCo ( PEP ) Chief Executive Ramon Laguarta.

Siete was founded in 2014 to make Mexican-American food more widely available, CEO Miguel Garz said in a statement. "We're excited to embrace a new era with PepsiCo ( PEP ) and bring our inclusive, better-for-you products to more people."

The acquisition will help PepsiCo ( PEP ) grow its "better-for-you food offerings," the company said.

In July, PepsiCo's ( PEP ) Frito-Lay North America division, which sells among other things Doritos tortilla chips and salsas, reported a slight decline in second-quarter revenue to $5.87 billion from $5.9 billion the year earlier.

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