FDBusiness.com

$5.8 Billion Pet Food Acquisition

 Breaking News
  • Royal A-Ware and Glanbia Ireland to Build New €140 Million Continental Cheese Facility Royal A-ware, a leading global cheese and dairy producer in The Netherlands, and Glanbia Ireland, Ireland’s largest dairy processor, plan to enter a strategic partnership that proposes to build a new continental cheese manufacturing facility in Belview, County Kilkenny, Ireland. It is proposed that a total of €140 million will be invested in this best-in-class [...]...
  • Pladis Appoints Global CEO Pladis, one of the world’s leading snacking companies, has appointed A Salman Amin as global CEO. He will take over the leadership officially in February. With a strong reputation in the food and drink sector, Salman Amin takes up the role after a highly successful international career spanning 30 years and three continents. Most recently, he [...]...
  • ADM Adds New Line of Specialty Tapioca Starches For the EMEA Region Archer Daniels Midland Company has announced a long term partnership with General Starch Limited (GSL), a leading tapioca starch producer located in Thailand. ADM will have exclusive distribution rights of the GSL modified tapioca starch products in the majority of the European countries, as well as in the Middle East and Africa. This range of [...]...
  • Louis Dreyfus Company to Exit Dairy Louis Dreyfus Company, a leading international merchant and processor of agricultural goods, has announced its decision to exit its dairy business by mid-2019. The move is in line with the company’s strategy over the past three years to exit non-core areas and refocus on its core businesses, including investments in origination markets and expansion along [...]...
  • Lucozade Ribena Suntory to Invest £13 Million in UK Factory Japan-based Suntory Beverage & Food is investing £13 million in its UK-based subsidiary Lucozade Ribena Suntory to install a new, high-speed bottle filler at its factory in Coleford, Gloucestershire. The new filler will produce 1.3 million bottles a day and will be instrumental in increasing productivity and efficiency at the Lucozade Ribena Suntory factory. The investment [...]...

$5.8 Billion Pet Food Acquisition

$5.8 Billion Pet Food Acquisition
February 05
11:49 2015

US food group, JM Smucker Company is acquiring pet food business Big Heart Pet Brands in a cash and share transaction valued at approximately $5.8 billion, which includes approximately $2.6 billion of net debt. Big Heart Pet Brands is the largest stand-alone producer, distributor, and marketer of premium-quality, branded pet food and pet snacks in the United States. Its portfolio of brands includes Meow Mix, Milk-Bone, Kibbles ‘n Bits, 9Lives, Natural Balance and Pup-Peroni. Big Heart Pet Brands’ net sales are expected to be approximately $2.3 billion and EBITDA will be approximately $450 million for the fiscal year ending May 3, 2015.

Big Heart Pet Brands, with nearly 2,500 employees, is headquartered in San Francisco, California. The company is currently owned by a consortium of investors led by funds affiliated with Kohlberg Kravis Roberts & Co, Vestar Capital Partners, Centerview Capital and AlpInvest Partners. The company changed its name from Del Monte Corporation to Big Heart Pet Brands following the sale of its fruit, vegetable, and other consumer foods portfolio in February 2014.

The acquisition provides  JM Smucker greater scale and strategic balance to its current portfolio while positioning it for continued growth.Acquiring Big Heart Pet Brands will provide JM Smucker with an immediate and significant presence in the $21 billion pet food and snacks category, one of the largest and fastest growing centre-of-the-store categories in the United States. Big Heart Pet Brands holds the number one position in pet snacks and a strong presence in the pet specialty channel, both representing key growth drivers for the overall category.

The acquisition reflects JM Smucker’s strategy of owning leading food brands in attractive centre-of-the-store categories, with a focus on North America.

Richard Smucker, chief executive of JM Smucker, comments: “With approximately two-thirds of US households having at least one family pet, we will now be able to serve the mealtime and snacking needs of the whole family. We look forward to working with Big Heart Pet Brands’ experienced and talented team to leverage our combined capabilities and scale, while further enhancing value for all our constituents.”

JM Smucker is a leading manufacturer of fruit spreads, retail packaged coffee, peanut butter, shortening and oils, ice cream toppings, sweetened condensed milk, and natural foods products in North America. Its family of brands includes Smucker’s, Folgers,Dunkin’ Donuts, Jif, Crisco and Pillsbury.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 18, 2019Multimodal 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements