Atlas Advisors advised Kelso & Company on the acquisition of J.M. Smucker’s Canned Milk business

ORRVILLE, Ohio, November 2, 2015 – Eagle Family Foods Group LLC, a subsidiary of funds affiliated with Kelso & Company (“Kelso”), announced today it has entered into a definitive agreement to purchase the U.S. canned milk brands and operations from The J.M. Smucker Company. The transaction includes canned milk products that are primarily sold in U.S. retail and foodservice channels under the Eagle Brand® and Magnolia® brands, along with other branded and private label trade names, with annual net sales of approximately $200 million. The manufacturing facilities of the canned milk business in El Paso, Texas, and Seneca, Missouri, will be included in the transaction. The transaction does not include the canned milk business in Canada.

The transaction is expected to close by the end of calendar 2015.

This transaction highlights several of Atlas Advisors’ key strengths:

  • Continued leadership in the dairy sector having advised the largest players in the sector including Danone S.A. and Grupo Lala
  • Expertise in assisting private equity firms in buying out divisions and developing a roll-up strategy, while efficiently leveraging the acquired business
  • Ability to evaluate complex manufacturing operations subject to volatile commodity prices with a portfolio consisting of branded and private label revenues
  • Strong presence in the broader global food & beverage sector with 32 transactions either closed or announced since inception in 2003

Kelso is a private equity firm located in New York City that has a successful investment track record, a long-tenured and stable investing team, and a reputation as a preferred partner to management teams and strategic companies. Since 1980, Kelso has raised a total of eight private equity funds, representing $9.8 billion of capital, and has made over 110 investments.

Atlas Advisors has advised on multiple transactions involving Kelso, including the ArmKel joint venture between Church & Dwight Co., Inc. and Kelso, the acquisition of DS Waters from Danone, the acquisition of Del Laboratories, Inc. and the eventual sale of Del Laboratories, Inc. to Coty Inc. The continued successful relationship with Kelso in excess of 10 years is a validation of Atlas’ philosophy to deliver objective advice and creative solutions framed by our clients’ long-term objectives.

Atlas Advisors is the marketing name for Atlas Advisors, LLC and Atlas Strategic Advisors, LLC. Atlas Strategic Advisors, LLC provides financial advisory services in connection with mergers, acquisitions and other similar transactions. Atlas Strategic Advisors, LLC is a wholly owned subsidiary of Atlas Advisors, LLC and a member of the FINRA.

None of the information contained in this release constitutes a recommendation, solicitation or offer by Atlas Strategic Advisors, LLC or its affiliates to buy or sell any securities, futures, options or other financial instruments or provide any investment advice or service.