We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : Smart Balance (SMBL) A smart and balanced investment!

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
From: Glenn Petersen6/4/2012 9:31:07 AM
   of 33
Smart Balance has made a major acquisition.

The press release:

Smart Balance to buy Udi's Healthy Foods for $125M

Smart Balance Inc. agrees to acquire gluten-free food-maker Udi's for $125 million cash

Associated Press – Fri, Jun 1, 2012 10:14 PM EDT

DENVER (AP) -- The food company Smart Balance Inc. has agreed to pay $125 million in cash to acquire Denver-based Udi's Healthy Foods LLC, which makes Udi's Gluten Free Foods products.

Smart Balance, based in Paramus, N.J., said it expects future tax benefits of about $22 million, making the effective purchase price about $103 million.

It is buying Udi's from majority shareholder Hubson Acquisition LLC and minority shareholders, including the family of founder Udi Bar-on.

The transaction is expected to close in July.

The Udi's food empire started when Bar-on and his wife launched a sandwich operation that grew into catering, restaurant, cafe and bakery enterprises. Bar-on and his son then built a national business around gluten-free food. In 2010, E&A Industries, whose affiliate is Hubson Acquisition LLC, took a majority stake in the gluten-free food business to help it grow.

Udi's reported sales of $60.9 million in the 12 months that ended March 31. The companies said Udi's had $4.3 million in net sales in 2009.

Meanwhile, Bar-on's family said Friday it is retaining its Udi's Foods restaurant, bakery and catering business.

Smart Balance, which sells buttery spreads, cooking sprays and other products, bought another gluten-free food maker, Glutino, in August. Smart Balance told investors Friday that buying Udi's would diversify the company's portfolio of health and wellness brands while positioning it as a leader in gluten-free foods.

Shares of Smart Balance rose 14 cents to $6.07 on Friday.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext