Flower Foods to Acquire Simple Mills for $795MFlower Foods to Acquire Simple Mills for $795M

Flowers Foods Inc. has signed an agreement to acquire Simple Mills for $795 million. The addition of Simple Mills expands Flowers' exposure to better-for-you and attractive snacking segments and enhances the company's growth and margin prospects.

"We are incredibly excited to welcome the Simple Mills team to Flowers," said Ryals McMullian, chairman and CEO of Flowers Foods. "With leading market positions and abundant white space for future growth, Simple Mills perfectly fits our strategy of adding compelling brands in better-for-you segments that complement and diversify our existing portfolio... Katlin and the Simple Mills team have built a remarkable business, and we look forward to collaborating with them to generate continued growth while preserving the brand's integrity and staying true to its unmatched quality and taste."

Founded in 2012 by Katlin Smith, Simple Mills is a market-leading natural brand offering premium better-for-you crackers, cookies, snack bars, and baking mixes. Built upon the belief that food has the power to spark impactful change, the company's mission is to revolutionize the way food is made to positively impact people and the planet. The brand's simple ingredients; pioneering use of nutrient-dense nut, seed, and vegetable flours; and exceptional taste have cultivated unmatched brand love and loyalty among consumers. Simple Mills products are available nationwide across more than 30,000 natural and conventional stores. Simple Mills is estimated to have generated 2024 net sales of $240 million, representing 14% growth compared to the prior year.

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"This transaction marks the beginning of a new phase of growth for Simple Mills, and we are thrilled to join the Flowers family," said Smith, founder and CEO of Simple Mills. "I am extremely proud of our talented team and the strong brand we've built with the support of our valued partners and loyal customers. With Flowers' resources, we will be well positioned to broaden distribution, accelerate innovation, and amplify brand awareness, while advancing our mission. Flowers has a strong track record of fostering growth in its acquired companies while stewarding and protecting their brand promise. I cannot imagine a better partner for Simple Mills and the team, and I look forward to working alongside Flowers to build upon our strong history of growth."

The transaction is anticipated to close in the first quarter of 2025. The woman-owned brand will operate as an independent subsidiary of Flowers Foods and continue to be led by Smith and her leadership team. Simple Mills will maintain its operations in Chicago, IL, and Mill Valley, CA.

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