-- >>> B&G Foods Acquires TrueNorth Brand
May 13, 2013
By Zacks Equity Research http://finance.yahoo.com/news/b-g-foods-acquires-truenorth-153002773.html
Packaged food company, B&G Foods, Inc. (BGS) recently acquired the TrueNorth brand from DeMet’s Candy Company. With the growing importance of nutritious snacking, TrueNorth is a healthy addition to B&G Foods’ snacks portfolio.
TrueNorth are bite sized nut clusters made of roasted nuts, with a taste of sea salt and sweetness and thus offer a healthy option for mid meal snacking. TrueNorth comes in three varieties namely Almond Pecan Crunch, Chocolate Nut Crunch and Cashew Crunch.
B&G Foods’ snacks portfolio also includes New York Style, Old London, JJ Flats and Devonsheer brands which were acquired in Oct 2013.
New York Style offers several baked products such as Mini Bagel Crisps, Pita Chips, Original Bagel Crisps, and Panetini Italian Toast. Old London, on the other hand, offers a huge variety of Melba products, such as Melba Toasts and Melba Rounds. In addition, Old London markets snacks under the names Devonsheer and JJ Flats.
B&G Foods focuses on small brands that have strong margins and generate less than $100 million in sales. Most of the time, these are smaller brands from large food companies, which have limited competition. B&G Foods’ investments in these brands help to generate huge free cash flow and ensure profitability in the long run.
B&G Foods carries a Zacks Rank #2 (Buy).
Some other consumer staple stocks that are worth a look include Flower Foods Inc. (FLO) carrying a Zacks Rank #1 (Strong Buy) and H. J. Heinz Company (HNZ) and J&J Snack Foods Corp. (JJSF) holding a Zacks Rank #2 (Buy).