Flowers Foods has announced a definitive agreement to acquire Simple Mills for $795 million in cash.
The acquisition strengthens Flowers’ presence in the better-for-you and snacking segments, while also boosting the company’s growth and profit potential.
After the transaction closes, Simple Mills will remain an independent subsidiary of Flowers Foods, led by founder and CEO Katlin Smith and her leadership team. The company will continue operating from its locations in Chicago, Illinois and Mill Valley, California.
Founded in 2012, Simple Mills produces better-for-you crackers, cookies, snack bars and baking mixes. The brand focuses on nutrient-dense ingredients like nut, seed and vegetable flours. Its products are sold in over 30,000 stores nationwide.
Ryals McMullian, chairman and CEO of Flowers Foods, said: “We are incredibly excited to welcome the Simple Mills team to Flowers. With leading market positions and abundant white space for future growth, Simple Mills perfectly fits our strategy of adding compelling brands in better-for-you segments that complement and diversify our existing portfolio.”
Kaitlin Smith added: “This transaction marks the beginning of a new phase of growth for Simple Mills and we are thrilled to join the Flowers family… With Flowers’ resources, we will be well positioned to broaden distribution, accelerate innovation and amplify brand awareness, while advancing our mission.”
“Flowers has a strong track record of fostering growth in its acquired companies while stewarding and protecting their brand promise. I cannot imagine a better partner for Simple Mills and the team, and I look forward to working alongside Flowers to build upon our strong history of growth.”
The transaction, pending customary regulatory approvals and closing conditions, is expected to be completed in the first quarter of 2025.
by Rafaela Sousa
Source: foodbev.com
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