TreeHouse Foods To Acquire Flagstone Foods For $860 Mln - Quick Facts

(RTTNews) - TreeHouse Foods Inc. (THS) announced that it will acquire Flagstone Foods, a provider of private label healthy snacks. The company has agreed to pay Gryphon Investors and other shareholders $860 million in cash for the business, subject to an adjustment for working capital.

TreeHouse Foods expects the deal to have roughly $0.05 to $0.08 impact on 2014 earnings and add approximately $0.24 to $0.28 in earnings per share in the first full year following closing. The company said, following the acquisition, its pro forma annual sales are expected to approach $3.5 billion and adjusted EBITDA to exceed $450 million. The transaction is expected to close during the third quarter of 2014.

Flagstone Foods has approximately 1,365 employees and is headquartered in St. Paul, M.N. and operates two state-of-the-art facilities in Minneapolis, M.N. and Roberson, N.C. Flagstone Foods reported sales of $697 million for the fiscal year ended December 28, 2013.