The J.M. Smucker Company will sell its baking business, featuring brands that include Pillsbury, to Brynwood Partners for $375 million.
In addition to the trademarks and licensing agreements for the Martha White, Hungry Jack, White Lily, Jim Dandy and Pillsbury brands included in the deal, Brynwood Partners will receive a manufacturing facility in Toledo, Ohio.
"The divestiture reflects our strategy to further focus our portfolio and develop a stronger presence in pet food, coffee, and snacking — all large, growing categories with sustainable growth projections," said Mark Smucker, president and CEO of the J.M. Smucker Co. "Pillsbury, Martha White, and Hungry Jack remain iconic brands and, although they no longer align with our strategic priorities, we are confident they will be nurtured at Brynwood. While the decision to divest these brands was difficult, it underscores our commitment to allocating resources toward those areas of the business critical to our growth."