B&G Foods Completes Acquisition Of Pirate Brands, Including Pirate’s Booty®

B&G Foods, Inc. announced that it has completed the acquisition of Robert’s American Gourmet Food, LLC doing business as Pirate Brands, a leader in the all-natural snack foods category, from VMG Partners, Michael Repole, founder Robert Ehrlich and certain other entities and individuals, for the previously announced price of $195 million in cash, subject to adjustments based upon indebtedness, working capital and transaction expenses of the business at closing. Pirate Brands’ baked, all-natural, trans fat free and gluten free snack brands include Pirate’s BootySmart Puffs and Original Tings. B&G Foods expects the acquisition to be immediately accretive to earnings per share and free cash flow.

B&G Foods funded the acquisition and will pay related fees and expenses with the remaining net proceeds of its recently completed senior notes offering and approximately $40 million of additional revolving credit borrowings under its credit agreement. B&G Foods amended its credit agreement last week to, among other things, increase the available borrowing capacity under its revolving credit facility by $100 million. Following the closing of the acquisition, the available borrowing capacity under the revolving credit facility is $254.5 million.

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