PARSIPPANY, N.J. — Pinnacle Foods on Monday announced that it has entered into an agreement to sell the company to Hillshire Brands. The transaction will include cash and Hillshire common stock.
Pinnacle Foods' portfolio includes such branded food products as Duncan Hines, Vlasic pickles, Wish-Bone and Western salad dressings, and Mrs. Butterworth's and Log Cabin table sryups, among other brands. The company also is home to the Birds Eye Frozen Division, which includes a variety of frozen vegetables and meals. The combined company will have annual net revenues of approximately $6.6 billion and will be led by current Hillshire President and CEO Sean Connolly.
"This transaction speaks to the value Pinnacle employees have created by executing our strategy of reinvigorating iconic brands," said Pinnacle CEO Bob Gamgort. "The combination of the brand portfolios of Pinnacle and Hillshire creates a powerful food company with broad reach across frozen, refrigerated and grocery categories."
Hillshire will acquire all outstanding shares of Pinnacle Foods; Pinnacle stockholders will receive $18.00 in cash for each share held, along with Hillshire common stock at a fixed exchange ratio of 0.50 Hillshire shares for each Pinnacle share, according to the company.