Jelly Giant J.M. Smucker to Buy Twinkies Maker Hostess Brands for $5.6 Billion
September 11, 2023: J.M. Smucker, the maker of Smucker’s jams and jellies, has agreed to buy Hostess Brands, the maker of Twinkies, for $5.6 billion. The deal, expected to close in the first quarter of 2024, will give Smucker a significant foothold in the snack food market.
Hostess Brands filed for bankruptcy in 2012 and was subsequently sold to a group of investors. The company has since been struggling to turn around its business.
Smucker CEO Mark Smucker said that acquiring Hostess Brands is a “transformational opportunity” for the company. He said Smucker’s strong distribution network and marketing expertise will help Hostess Brands revive its brands.
The acquisition of Hostess Brands is a significant coup for Smucker. The company has been looking to expand its snack food business. Twinkies are among the most iconic snack foods in the United States, and Smucker hopes to capitalize on the brand’s popularity.
The deal is also a sign of the growing consolidation in the food industry. In recent years, there has been a wave of mergers and acquisitions in the food sector. This is due to the increasing pressure on food companies to reduce costs and improve efficiency.
Here are some actional and practical takeaways from the article:
- J.M. Smucker is acquiring Hostess Brands for $5.6 billion.
- The deal is expected to close in the first quarter of 2024.
- The acquisition will give Smucker a significant foothold in the snack food market.
- With its strong distribution network and marketing expertise, Smucker hopes to revive Hostess Brands’ brands.
- The deal is a sign of the growing consolidation in the food industry.