J.M. Smucker Buys Hostess Brands for $5.6 Billion

The J.M. Smucker Company has agreed to acquire Hostess Brands for $5.6 billion, including $900 million in new debt, bringing together two of the country’s largest snack manufacturers. According to Smucker’s estimates, the deal represents an adjusted EBITDA of about 17.2 times based on its estimate of Hostess Brands’ 2023 results and is worth approximately $4.6 billion excluding debt with The Jif peanut butter maker paying shareholders a price per share of $3425 each . This marks a significant turnaround for Hostess which had filed for bankruptcy twice – 2004 and 2012 – before this acquisition . Approximately 3,000 employees will join The J M Smucker company as part of this transaction when it closes in the third quarter ending April 30th 2024 , following unanimous approval from both companies’ boards  of directors .