ERIE, PA. — JTM Foods, LLC, has finalized its acquisition of the Big Texas and Cloverhill brands as well as some private label products from the J.M. Smucker Co., Orrville, Ohio, for approximately $40 million. The transaction also includes a manufacturing plant in Chicago that employs 400.

The transaction was first announced in early February.

“We look forward to increased growth and the continued satisfaction of our customers while consistently delighting our consumers,” JTM Foods noted in a March 4 LinkedIn posting.

Cinnamon rolls, honey buns and pastries are some of the applications sold under the Big Texas and Cloverhill brands. Hostess Brands acquired both Big Texas and Cloverhill in 2018. The two brands became a part of Smucker when Smucker’s acquisition of Hostess Brands closed in 2023.

JTM Foods manufactures handheld pies and marshmallow rice treats sold under such brands as JJ’s Bakery and Cookies-n-Milk as well as store brands for retailers.

J.M. Smucker said the divestiture reflects the company’s continued commitment to portfolio optimization and prioritization of resources in support of the Hostess brand to help advance its leadership in the sweet baked goods category.

“The decision reflects action on the key pillars the company has established to return the Hostess brand to growth, including work to mitigate costs and reduce complexity within its manufacturing network,” J.M. Smucker said.

J.M. Smucker said the transaction is expected to impact fiscal year 2025 net sales by approximately $10 million and to be immaterial to full-year adjusted earnings per share.