Yadkinville residents may have noticed a change in the last couple of weeks when driving past the former Chipita America, Inc. location.
B&G Foods, Inc. has purchased New York Style and Old London brands from Chipita America, Inc. as well as the state-of-the-art manufacturing facility and its 250 employees in Yadkinville.
B&G Foods announced the purchase in September. The company purchased the Chipita brands, warehouse and labor for approximately $62.5 million.
“We are very excited to add New York Style and Old London to the B&G Foods family,” David L. Wenner, President and Chief Executive Officer of B&G Foods, said in a press release. “The addition of these brands marks out entry into the fast growing snack category. Consistent with our prior acquisitions, we expect this acquisition to be immediately accretive to our earnings per share and free cash flow.”
According to the press release, B&G Foods projects that the brands will generate net sales of approximately $45 to $50 million and expect earnings before interest, taxes, depreciation and amortization to be approximately $8 to $9 million in 2013.
The New York Style brand is responsible for Bagel Crisps, Mini Bagel Crisps, Pita Chips and Panetini Italian Toast. According to the press release, the New York Style brand was born in a small cheese shop in 1985 when the shop owners decided to serve their gourmet cheese samples on toasted bagel slices. When customers started asking to purchase the crispy snacks, New York Style Bagel Crisps were born.
According to the press release, Old London brand was founded in 1932 as the Devonsheer Melba Company. Devonsheer Melba Company was eventually consumed by the Old London brand name, which also offers other Melba products. Old London offers a variety of flavors of Melba Toasts, Melba Rounds and other snacks. Old London also markets specialty snack s under the Devonsheer and JJ Flats names.
B&G Foods and its subsidiaries manufacture, sell and distribute shelf-stable foods across the United States, Canada and Puerto Rico. B&G Food’s brands include Ac’cent, B&G, Baker’s Joy, Cream of Wheat, Emeril’s, Ortega, Red Devil, and household brands Static Guard and Kleen Guard.
According to the press release, B&G Foods expects the acquisition to close during the fourth quarter of 2012, subject to the satisfaction of customary closing conditions.
Reach Lindsay Craven at 679-2341 or at firstname.lastname@example.org.