The Strategist

JM Smucker to pay $4B for baked goods maker Hostess

09/12/2023 - 11:12

According The Wall Street Journal sources, US food producer J.M. Smucker Co. stated that it would pay $4 billion to acquire Hostess Brands, a maker of baked goods.

The Smucker Company was founded in Ohio in 1897. The company's primary business segments are jam, syrup, and peanut butter manufacture. The producer also produces Jif peanut butter, Milk-Bone dog food, Folgers and Cafe Bustelo coffee.

Smucker has previously entered into numerous agreements to diversify its business. For instance, the business joined the pet food industry in 2015 by paying $3.2 billion for Big Heart Pet Brands, and it strengthened its position there in 2018 by paying $1.7 billion for Ainsworth Pet Nutrition.

Smucker executives stated at an industry conference last week that the company is interested in expanding portfolio diversification through the purchase of diverse food producers.