ORRVILLE, OHIO — The J.M. Smucker Co. has completed its acquisition of Lenexa, Kan.-based Hostess Brands, Inc. The transaction first was announced on Sept. 11.
“We are excited to formally welcome Hostess Brands and for the tremendous opportunity we have with the combined capabilities our businesses offer,” said Mark Smucker, president and chief executive officer of J.M. Smucker. “Consumers’ increasing reliance on snacking to fit lifestyle needs and convenience choices has expanded the occasions where the category can deliver, and the sweet baked goods category is one of the largest and fastest growing in the industry. With the Hostess acquisition, we have a strong position in this highly attractive segment with popular brands that consumers love.
“In addition, the synergy of our businesses creates a compelling platform to drive sustainable growth. Hostess offers an expanded distribution model, including strength in the convenience store channel; a robust innovation engine; and extensive manufacturing capabilities. This is complemented by the strong retailer relationships in the grocery and mass channels we have at Smucker; along with our advanced commercial organization, highlighted by our industry leading consumer insights and marketing; and our continuous productivity approach. The combination of these capabilities positions us to deliver on the aspirations we have for the business.”
The transaction includes the Hostess sweet baked snacks brands, including Hostess Donettes, Twinkies, CupCakes, DingDongs, Zingers, CoffeeCakes, HoHos, Mini Muffins and Fruit Pies and the Voortman cookie brand. It also includes manufacturing facilities in Emporia, Kan.; Burlington, Ont.; Chicago; Columbus, Ga.; Indianapolis; and Arkadelphia, Ark. (which is currently under construction) and a distribution facility in Edgerton, Kan. Approximately 3,000 employees will join the company as part of the transaction.J.M. Smucker said it will provide more details on the transaction when it issues its second-quarter financial results on Dec. 5.