The J.M. Smucker Co. is selling its natural and organic beverage and grains businesses to Nexus Capital Management LP in a cash transaction valued at about $110 million.
Included in the agreement are R.W. Knudsen and TruRoots assets and trademarks, and a licensing agreement for Santa Cruz Organic beverages. The transaction also includes The J.M. Smucker Co.’s manufacturing and distribution facilities in Chico, CA, and Havre de Grace, MD.
To further optimize operations for the Consumer Foods business, the company said it will also be closing and pursuing the sale of its Ripon, WI production facility and consolidating production at its Orrville, OH facility.
"This transaction supports our strategy to direct investments and resources toward core brands positioned for growth," said Tina Floyd, sr. vice president and general manager, Consumer Foods, The J.M. Smucker Co. "By focusing resources on our core brands, including Uncrustables sandwiches, Jif, and Smuckers, we are positioning ourselves to build on our market leadership, while continuing to support the growth of the overall category."
The transaction is expected to close in the third quarter of the company's 2022 fiscal year, subject to customary closing conditions.