CHARLOTTE, NC -- Snyder's-Lance Inc. has agreed to acquire Snack Factory LLC (Princeton, NJ) and certain affiliates for $340 million in cash, which includes approximately $60 million of net present value of future tax benefits. Snyder's-Lance expects to close the transaction early in the fourth quarter, subject to customary conditions including regulatory approvals.
Snack Factory produces Pretzel Crisps, thin, flat crackers shaped like pretzels. The Pretzel Crisps brand has built a portfolio of innovative flavor profiles, which -- with its high-quality all-natural ingredients -- have attracted a widening base of influential consumers.
Snyder's-Lance noted that the acquisition adds a fast-growing, differentiated national brand to its portfolio and provides entry into the deli and bakery section of grocery stores, an expanding retail segment for snacks. It is expected to add approximately 2¢ to Snyder's-Lance earnings per share, excluding transaction related costs, this year and approximately 10¢ to earnings in 2013. It also is projected to add about $160 million to 2013 net revenues.
Snyder's-Lance produces and markets snack foods throughout the U.S. and internationally. Products include pretzels, sandwich crackers, potato chips, cookies, tortilla chips, restaurant-style crackers and nuts, among other items.