B&G Foods acquires baking products producer Clabber Girl

US-based frozen food manufacturer B&G Foods has acquired Clabber Girl from Hulman & Company.

Financial details of the acquisition have not been divulged.

Clabber Girl is engaged in the production of a wide range of baking products, including baking powder, baking soda and corn starch.

Its product offerings include the Rumford, Davis, Hearth Club and Royal brands of retail baking powder, baking soda, corn starch and the Royal brand of foodservice dessert mixes.

B&G Foods president and CEO Kenneth G Romanzi said: “We are pleased to announce the addition of Clabber Girl to our portfolio of brands.

“This acquisition is consistent with our longstanding acquisition strategy of targeting well-established brands with defensible market positions and strong cash flow at reasonable purchase price multiples.

“Clabber Girl Corporation is the number one manufacturer of branded retail baking powder and also holds leadership positions in baking soda and corn starch.”

To fund the acquisition and related fees and expenses, B&G Foods used available cash on hand, as well as revolving loans under its existing credit facility.

B&G Foods expects the deal to be immediately accretive to earnings per share and free cash flow.

It estimates that the acquired entity will generate around $70 to $75m of net sales on an annualised basis.

Based in Parsippany, New Jersey, B&G Foods and its subsidiaries produce, sell and distribute shelf-stable and frozen foods across the US, Canada and Puerto Rico.

It has a portfolio of more than 50 brands, including Back to Nature, B&G, B&M, Cream of Wheat, Green Giant, Las Palmas, Le Sueur, Mama Mary’s, Maple Grove Farms, Mrs Dash, New York Style, Ortega, Polaner, SnackWell’s and Spice Islands.

Last July, B&G Foods acquired the McCann’s brand of Irish oatmeal from TreeHouse Foods for approximately $32m in cash.