PARSIPPANY, N.J.--(BUSINESS WIRE)--Nov. 2, 2015--
B&G Foods, Inc. (NYSE:BGS) announced that effective today it has
completed the acquisition of the iconic Green Giant®
and Le Sueur® brands, leaders in frozen and
canned vegetables, from General Mills, Inc. for the previously announced
price of $765 million in cash plus an inventory adjustment at closing of
approximately $58 million.
B&G Foods projects that the Green Giant and Le Sueur
brands will generate on an annualized basis net sales of approximately
$550 million, adjusted EBITDA of approximately $95 million to $100
million and earnings per share of approximately $0.60. Because the
acquisition was structured as an asset purchase, B&G Foods expects to
realize approximately $137 million in tax benefits on a net present
value basis.
The Green Giant and Le Sueur brands trace their roots to
Le Sueur, Minnesota in 1903, and the Minnesota Valley Canning Company.
For more than 100 years, fresh and great-tasting Green Giant and
Le Sueur vegetables have been grown and picked at the
peak of perfection® in the Valley of the Jolly Green Giant.
B&G Foods funded the purchase price, the inventory adjustment at
closing, initial working capital requirements and related fees and
expenses with additional revolving loans and $750 million of new
incremental term loans under its existing credit facility.
About B&G Foods, Inc.
B&G Foods and its subsidiaries manufacture, sell and distribute a
diversified portfolio of high-quality, branded shelf-stable foods across
the United States, Canada and Puerto Rico. Based in Parsippany,
New Jersey, B&G Foods’ products are marketed under many recognized
brands, including Ac’cent, B&G, B&M, Baker’s
Joy, Bear Creek Country Kitchens, Brer Rabbit, Canoleo,
Cary’s, Cream of Rice, Cream of Wheat,
Devonsheer, Don Pepino, Emeril’s, Grandma’s
Molasses, JJ Flats, Joan of Arc, Las Palmas,
MacDonald’s, Mama Mary’s, Maple Grove Farms, Molly
McButter, Mrs. Dash, New York Flatbreads,
New York Style, Old London, Original Tings, Ortega,
Pirate’s Booty, Polaner, Red Devil, Regina, Rickland
Orchards, Sa-són, Sclafani, Smart Puffs, Spring
Tree, Sugar Twin, Trappey’s, TrueNorth, Underwood,
Vermont Maid, Wright’s and now, Green Giant
and Le Sueur. B&G Foods also sells and distributes Static
Guard, a household product brand.
Forward-Looking Statements
Statements in this press release that are not statements of
historical or current fact constitute “forward-looking statements.” The
forward-looking statements contained in this press release include,
without limitation, statements related to the expected impact of the
acquisition of the Green Giant and Le Sueur brands,
including without limitation, the expected impact on B&G Foods’ earnings
per share, net sales, adjusted EBITDA and free cash flow, and the
expected tax benefits of the acquisition. Such forward-looking
statements involve known and unknown risks, uncertainties and other
unknown factors that could cause the actual results of B&G Foods to be
materially different from the historical results or from any future
results expressed or implied by such forward-looking statements. In
addition to statements that explicitly describe such risks and
uncertainties readers are urged to consider statements labeled with the
terms “believes,” “belief,” “expects,” “projects,” “intends,”
“anticipates” or “plans” to be uncertain and forward-looking. Factors
that may affect actual results include, without limitation: whether and
when the required regulatory approvals will be obtained, whether and
when the other closing conditions will be satisfied and whether and when
the transaction and related financing will close, whether and when the
Company will be able to realize the expected financial results and
accretive effect of the transaction, and how customers, competitors,
suppliers and employees will react to the acquisition. The
forward-looking statements contained herein are also subject generally
to other risks and uncertainties that are described from time to time in
B&G Foods’ filings with the Securities and Exchange Commission,
including under Item 1A, “Risk Factors” in the Company’s Annual Report
on Form 10-K for fiscal 2014 filed on March 4, 2015 and in its
subsequent reports on Forms 10-Q and 8-K. Investors are cautioned
not to place undue reliance on any such forward-looking statements,
which speak only as of the date they are made. B&G Foods
undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events or otherwise.
View source version on businesswire.com: http://www.businesswire.com/news/home/20151102006500/en/
Source: B&G Foods, Inc.
ICR, Inc.
Investor Relations:
Dara Dierks, 866-211-8151
or
Media
Relations:
Matt Lindberg, 203-682-8214
