Holland & Knight Advises Brynwood Partners on $375 Million Purchase of Pillsbury and Other Baking Brands from J.M. Smucker Co.
Stamford, CT (July 10, 2018) – Holland & Knight advised Brynwood Partners in its 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 baking products along with the Hungry Jack®, White Lily®, Jim Dandy® and Martha White® brands. The deal, which is expected to close in the third quarter of 2018, is the single largest acquisition in Brynwood’s 34-year history.
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 also includes the 650,000 square foot manufacturing facility in Toledo, OH.
Brynwood created Hometown Food Company to acquire the assets from Smucker. Hometown Food Company will be headquartered in Chicago, IL and will operate the Toledo, OH facility, where approximately 255 full-time employees are employed.
Greenwich, Conn.-based Brynwood Partners is an operationally-focused private equity firm that makes control investments in North American-based lower middle market companies. The firm targets non-core brands or companies operating exclusively in the consumer sector. The company currently manages more than $1.1 billion of private equity capital for its limited partners.
Holland & Knight corporate Partners Martin Clarke and Seth Milligan led the firm’s representation of Brynwood. They were assisted by corporate Associate Kelly McKeon, intellectual property Partner Dawn Rudenko Albert, employee benefits Partner Victoria Zerjav, environmental Partner Stephen Humes, tax Partner Gary Schoenbrun, labor Counsel Christine Gay, regulatory Associate Jennifer Nowak and real estate Associate Stephanie Lynn Holding.