US-based packaged foods company Conagra Brands has completed the acquisition of Pinnacle Foods for $10.9bn.
The deal was concluded after fulfilling terms and conditions, as well as obtaining approval from Pinnacle Foods’ shareholders.
Conagra Brands president and CEO Sean Connolly said: “Expanding Conagra Brands’ portfolio through the acquisition of Pinnacle Foods creates a tremendous opportunity to drive profitable growth and shareholder value by further leveraging our proven approach to innovation, brand-building, operational excellence and deep customer relationships.
“We are excited to combine the Pinnacle and Conagra Brands portfolios in the attractive frozen meals and snacks and sweet treats categories.
“The complementary brands, operations and results-oriented cultures will help facilitate an effective integration and the continued transformation of Conagra Brands.”
In June, Conagra announced its plans to acquire Pinnacle Foods in a cash-and-stock transaction, which also included outstanding net debt.
Conagra Brands expects to strengthen its presence in the frozen food and snack categories.
Pinnacle Foods CEO Mark Clouse said: “The transaction provides Pinnacle Foods shareholders with substantial and immediate value, as well as the opportunity to participate in the significant upside potential of the combined company.
“Because of our employees’ incredible work, Pinnacle’s total shareholder return is approximately 275% since our initial public offering (IPO), and today marks an important milestone in the company’s journey.
“The portfolios and capabilities of both enterprises are impressive and complementary. We look forward to working through a seamless transition with the Conagra Brands team.”
The brands that are added from Pinnacle Foods’ portfolio include Birds Eye, Duncan Hines, Earth Balance and EVOL, Erin’s and Gardein.
