Pillsbury and Hungry Jack brands sold to private equity firm

Private equity firm Brynwood Partners of Greenwich, Conn., has signed a definitive agreement to acquire a portfolio of brands from The J.M. Smucker Company for $375 million. The portfolio includes the exclusive U.S. rights to the iconic Pillsbury brand's shelf-stable baking products along with the Hungry Jack, White Lily, Jim Dandy and Martha White brands. The Pillsbury brand license agreement is a royalty-free, perpetual agreement with General Mills, Inc. and encompasses all U.S. shelf-stable baking products, including flour, dry baking mixes and ready-to-spread frosting, in the retail channel. The transaction includes the 650,000 square foot manufacturing facility in Toledo, Ohio, and is expected to close in the third quarter of 2018, subject to customary U.S. regulatory review.

Brynwood Partners created the Hometown Food Company to acquire the assets from Smucker. Hometown will be headquartered in Chicago, Ill., and will operate the Toledo facility. Pillsbury and Hungry Jack are leading national brands in the shelf-stable baking and breakfast categories. The Funfetti sub-brand is also included in the acquisition as are the strong regional brands White Lily, Jim Dandy and Martha White, which participate in the flour, corn meal and grits categories. Many of the acquired products are manufactured at the Toledo facility where approximately 255 full-time employees are employed.

"The iconic portfolio of brands and the company's strong Mid-Western manufacturing footprint will provide us with a solid platform to invest in and to grow,” said Henk Hartong III, chairman and CEO of Brynwood Partners.