PARSIPPANY, N.J. — B&G Foods, Inc. has entered into an agreement to acquire the spices business of ACH Food Companies, Cordova, Tenn., for approximately $365 million. ACH Food makes spices and seasonings under such brands as Spice Islands, Tone’s, Durkee and many others. The company also markets Weber brand sauces that are sold under license by the company.
|Robert C. Cantwell, president and c.e.o. of B&G Foods|
“We are very pleased to add ACH’s spices and seasonings business, including the Spice Islands, Tone’s, Durkee and Weber brands to the B&G Foods portfolio,” said Robert C. Cantwell, president and chief executive officer of B&G Foods. “This acquisition will significantly broaden our position in the large and growing spices and seasonings category, which we believe is very relevant to today’s consumer, who is looking for healthier options, simple ingredients and enhanced flavor.”
The acquisition will grow B&G Foods’ presence in the center of the retail store. Prior to the acquisition, the company’s product portfolio consisted of 65% grocery, including such brands as Cream of Wheat, Ortega, Mrs. Dash and others; 25% frozen food with Green Giant; and 10% snacks, which includes the company’s Pirate’s Booty, TrueNorth and Old London snack brands. In all, the company owns approximately 45 brands sold primarily at retail.
B&G Foods also is acquiring a manufacturing plant in Ankeny, Iowa, as part of the transaction. The company expects the acquisition to close during the fourth quarter of 2016.