B&G Foods to acquire Back to Nature

B&G Foods Inc. (Parsippany, N.J.) has agreed to acquire Back to Nature Foods Company LLC, (Madison, Wis.), a maker of natural and organic granola, cereals and snacks, from Brynwood Partners and Mondelēz International for approximately $162.5 million in cash, representing a purchase price multiple of approximately 9.6 times adjusted EBITDA. B&G Foods expects the acquired business to generate net sales of approximately $80 million on an annualized basis. Kraft Foods acquired Back to Nature from Organic Milling Inc. in 2003, when the brand posted 2002 revenues of nearly $10 million. In 2012 Kraft sold a controlling stake in Back to Nature to Brynwood, which set up a joint venture with Mondelēz to operate Back to Nature, with SnackWell’s, a “better for you” snack brand subsequently added to the joint venture. B&G brands include Green Giant, Ortega, Cream of Wheat and Maple Grove Farms.