ORRVILLE, Ohio, March 23, 2015 /PRNewswire/ -- The J. M. Smucker
Company (NYSE: SJM) ("Company") today announced it has completed
the acquisition of Big Heart Pet Brands in a cash and stock
transaction valued at approximately $6.0
billion, which includes the assumption of approximately
$2.5 billion of net debt that was
paid off by the Company at closing. The Company previously
announced the signing of a definitive agreement to acquire Big
Heart Pet Brands on February 3,
2015.
Big Heart Pet Brands, with nearly 2,500 employees, is a leading
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®,
Pup-Peroni®, Gravy Train®,
Nature's Recipe®, Canine Carry
Outs®, and Milo's
Kitchen®.
In connection with the closing of the transaction, Dave West, who served as the President and Chief
Executive Officer of Big Heart Pet Brands, has joined the Company
as an executive officer, assuming the role of President, Big Heart
Pet Food and Snacks. Mr. West has also been appointed to the
Company's Board of Directors.
"We are excited to have completed this transaction, which
provides the Company an immediate and significant presence in the
large and growing pet food and snacks category," said Richard Smucker, Chief Executive Officer.
"Big Heart Pet Brands markets some of America's best known pet
brands and, with a broad product portfolio that includes the
leading position in dog snacks, this acquisition is a great
strategic fit. Adding a third platform for growth, along with
our existing food and beverage businesses, the transaction
increases our center-of-the-store presence with consumers and
retailers, while further enhancing shareholder value. We are
pleased to welcome the employees of Big Heart Pet Brands into the
Smucker family and look forward to working with this talented team
to grow the business together."
The Company funded the non-equity portion of the acquisition
through the combination of a $1.75
billion bank term loan and $3.65
billion of long-term bonds. Proceeds of the new
borrowings were also used to pay off the Company's $1.1 billion of private placement notes.
Advisors
William Blair
& Company, L.L.C. served as financial advisor to the Company
and Wachtell, Lipton, Rosen & Katz served as its legal
advisor.
About The J. M. Smucker Company
For more than 115
years, The J. M. Smucker Company has been committed to offering
consumers quality products that bring families together to share
memorable meals and moments. Today, Smucker is a leading
marketer and manufacturer of consumer food and beverage products
and pet food and pet snacks in North
America with annual net sales of approximately $8 billion. In consumer foods and
beverages, its brands include Smucker's®,
Folgers®, Jif®, Dunkin'
Donuts®, Crisco®,
Pillsbury®, R.W. Knudsen
Family®, Hungry Jack®, Cafe
Bustelo®, Martha
White®, truRoots®,
Sahale Snacks®, Robin
Hood®, and Bick's®.
In pet food and pet snacks, its brands include Meow
Mix®, Milk-Bone®, Kibbles 'n
Bits®, Natural Balance®, and
9Lives®. The Company remains rooted in the
Basic Beliefs of Quality, People, Ethics, Growth, and
Independence established by its founder and namesake more
than a century ago. For more information about the Company,
visit jmsmucker.com.
The J. M. Smucker Company is the owner of all trademarks
referenced herein, except for the following, which are used under
license: Pillsbury® is a trademark of The
Pillsbury Company, LLC and Dunkin' Donuts® is a
registered trademark of DD IP Holder LLC.
Dunkin' Donuts® brand is licensed to The J. M.
Smucker Company for packaged coffee products sold in retail
channels such as grocery stores, mass merchandisers, club stores,
and drug stores. This information does not pertain to
Dunkin' Donuts® coffee or other products for sale
in Dunkin' Donuts® restaurants.
Logo -
http://photos.prnewswire.com/prnh/20071219/SMUCKERLOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/the-j-m-smucker-company-completes-acquisition-of-big-heart-pet-brands-300054566.html
SOURCE The J. M. Smucker Company