JM Smucker to pay $3.2B for Big Heart Pet Brands

Associated Press

J. M. Smucker Co. wants to feed the entire family — including the pets.

The Orville, Ohio-based food company said Tuesday that it is buying pet- food maker Big Heart Pet Brands in a $3.2 billion cash-and-stock deal, giving it a presence in the fast-growing, $21 billion pet-food industry.

Big Heart Pet Brands, based in San Francisco, owns brands such as Meow Mix, Milk-Bone, Kibbles ’n Bits and Pup-Peroni.

Smucker, whose brands include pantry staples such as Crisco, Jif and Folgers, says that the acquisition will add $2.4 billion in sales for its fiscal year 2016, with an estimated growth rate of 4 to 5 percent over the next few years. It had revenue of $5.61 billion in its last fiscal year that ended in April.