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JM Smucker has agreed to sell its Voortman cookie brand to Second Nature Brands, a US-based snack company owned by CapVest Partners, for approximately $305 million in cash.

The deal includes all Voortman trademarks and Smucker’s leased manufacturing facility in Burlington, Ontario, Canada. Approximately 300 employees will transfer to Second Nature Brands.

Voortman was acquired by Smucker as part of its $5.6 billion purchase of Hostess Brands in 2023. Smucker expects to gain $100 million in synergies from the Hostess acquisition by fiscal 2026.

According to the company, Voortman generated around $65 million in sales for fiscal year 2024 and is projected to reach $150 million in 2025. The sale is expected to reduce its adjusted earnings per share by approximately $0.25 annually but will be offset by $0.10 per share in debt repayment savings.

Mark Smucker, chair of the board, president and CEO, said: "This decision reflects our continued commitment to portfolio and resource optimisation to focus on our largest growth opportunities as a company".

"The divestiture of the Voortman brand is an important step in our integration plans that will enable the execution of our Sweet Baked Snacks strategy through dedicated focus and ongoing investments in the Hostess brand, advancing our leadership in the sweet baked goods category. I want to recognise and thank the many talented teams who have supported this brand."

The transaction is anticipated to close in the third quarter of Smucker's fiscal year.

Top image: © Voortman Cookies

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