The J.M. Smucker Co announced recently the signing of an agreement to acquire Hostess Brands for approximately US$5.6 billion. The acquisition expands J.M. Smucker’s offering of brands in growing categories and accelerates its focus on convenient consumer occasions.
The transation oversees the acquisition of Hostess Brands’ sweet baked goods brands including Hostess Donettes, Twinkies, CupCakes and more, and the Voortman cookie brand along with manufacturing facilities based in Kansas, Ontario, Illinois, Georgie, Indiana and Arkansas in addition to a distribution facility in Kansas. Approximately 3000 employees are set to join J.M. Smucker.
“We are excited to announce the acquisition of Hostess Brands, which represents a compelling expansion of our family of brands and a unique opportunity to accelerate our focus on delighting consumers with convenient solutions across different meal and snacking occasions,” said Mark Smucker, Chair of the Board, President and Chief Executive Officer.
“With this acquisition, we are adding an iconic sweet snacking platform; enhancing our ability to deliver brands consumers love and convenient solutions they desire; and leveraging the attributes Hostess Brands offers, including its strong convenience store distribution and leading innovation pipeline, combined with our strong commercial organization and consistent retail execution across channels to drive continued growth,” he added.
Benefits of the transaction for J.M. Smucker include expanding its portfolio of brands to include Hostess Brands’ sweet baked goods and snacks brands to join its offering in coffee, peanut butter, frozen handheld, fruit spreads, dog snacks and cat food categories; it also positions it to deliver on consumer needs with greater convenience and selection to drive further growth and innovation.
I am extremely proud of the entire Hostess Brands team for the legacy they created in building a premier snacking company and driving industry leading returns for our investors. Today represents another exciting chapter for Hostess Brands as we combine our iconic snacking brands with The J.M. Smucker Co.’s family of beloved brands,” commented Andy Callahan, President and Chief Executive Officer of Hostess Brands. “We believe this is the right partnership to accelerate growth and create meaningful value for consumers, customers and shareholders,” he said, adding that both companies share a “commitment” to moments of joy and satisfaction with their products.
Read more latest industry news and developments in our free to download magazine.
Never miss a story… Follow us on:
International Bakery
@int_bakery
@Bakeryint
Media contact
Caitlin Gittins
Editor, International Bakery
Tel: +44 (0) 1622 823 920
Email: editor@in-bakery.com
