Smucker Announces , Massive Deal to Acquire , Hostess Brands.
NBC reports that J.M.
Smucker has purchased Hostess Brands in a massive $5.6 billion deal.
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NBC reports that J.M.
Smucker has purchased Hostess Brands in a massive $5.6 billion deal.
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As part of the deal, the jelly maker has agreed to assume all of Hostess's debt.
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For each share Hostess shareholders own, they will reportedly receive $30 in cash and .03002 shares of Smucker's stock.
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For each share Hostess shareholders own, they will reportedly receive $30 in cash and .03002 shares of Smucker's stock.
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NBC reports that the deal is expected to close in January, when Smucker closes its fiscal third quarter.
NBC reports that the deal is expected to close in January, when Smucker closes its fiscal third quarter.
The news comes amid a number of major acquisitions by Big Food as it looks to boost growth amid diminishing gains from the pandemic boom.
The news comes amid a number of major acquisitions by Big Food as it looks to boost growth amid diminishing gains from the pandemic boom.
Campbell's Soup recently purchased Sovos Brands, the maker of Rao's pasta sauce, for $2.7 billion.
Campbell's Soup recently purchased Sovos Brands, the maker of Rao's pasta sauce, for $2.7 billion.
Other major acquisitions include candy maker Mars purchase of Kevin's Natural Foods and Unilever's acquisition of the frozen yogurt company Yasso.
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Other major acquisitions include candy maker Mars purchase of Kevin's Natural Foods and Unilever's acquisition of the frozen yogurt company Yasso.
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News of Smucker's acquisition of Hostess saw the Twinkies maker's stock climb 18% in premarket trading, while Smucker's stock dropped 7.5%.
News of Smucker's acquisition of Hostess saw the Twinkies maker's stock climb 18% in premarket trading, while Smucker's stock dropped 7.5%.
So far in 2023, Hostess stock has risen 25%, boosting the company's market value to $3.73 billion.
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The Hostess brand was revived in 2013 by Apollo Global Management and Metropoulos & Co., after acquiring the assets of the dissolved Interstate Bakeries.
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The Hostess brand was revived in 2013 by Apollo Global Management and Metropoulos & Co., after acquiring the assets of the dissolved Interstate Bakeries.
