General Mills Sells Green Giant Frozen Food Brand

Green Giant and Le Sueur brands

B&G Foods, has recently announced that it has entered into an agreement to acquire the iconic Green Giant® and Le Sueur® brands, leaders in frozen and canned vegetables, from General Mills, Inc. for approximately USD765 million in cash, subject to an inventory adjustment at closing.

B&G Foods expects the acquisition to close during the fourth quarter of 2015, subject to customary closing conditions, including the receipt of regulatory approvals.

“We are thrilled to welcome Green Giant and Le Sueur to the B&G Foods family of brands. For over 100 years, Green Giant and Le Sueur have been providing consumers with great tasting, nutritious vegetables picked at the peak of perfection®. We look forward to building on that rich history by offering new and innovative products that will respond to the needs of today’s health conscious consumer,” stated Robert C. Cantwell, President and Chief Executive Officer of B&G Foods.

Mr. Cantwell continued, “Consistent with our acquisition strategy, we expect the acquisition to be immediately accretive to our earnings per share and free cash flow. In addition, the acquisition marks our entry into the frozen food category, which we believe will open many future growth opportunities.”

B&G Foods projects that following a six to twelve month transition period, the Green Giant and Le Sueur brands will generate on an annualized basis net sales of approximately USD550 million, adjusted EBITDA of approximately USD95 million to USD100 million and earnings per share of USD0.60. Because the acquisition will be structured as an asset purchase, B&G Foods expects to realize approximately USD137 million in tax benefits on a net present value basis.

B&G Foods intends to fund the acquisition and related fees and expenses with additional revolving loans and new incremental terms loans under its existing credit facility. B&G Foods has received financing commitments from Barclays Bank PLC, BofA Merrill Lynch and RBC Capital Markets. Barclays and RBC Capital Markets acted as financial advisors to B&G Foods.

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 etc.

Privacy Preference Center

Strictly Necessary

These cookies are essential for websites built on Wordpress to perform their basic functions. These include those required to allow registered users to authenticate and perform account related functions.

wordpress_test_cookie, wordpress_{hash}, wordpress_logged_in_{hash}, wp-settings-{user_id}, wp_sharing_{id},gdpr[allowed_cookies],gdpr[consent_types]
_unam, _ga, _gid

Close your account?

Your account will be closed and all data will be permanently deleted and cannot be recovered. Are you sure?