OAK BROOK – TreeHouse Foods, Inc. will acquire Flagstone Foods, the leading provider of "private label healthy snacks," it announced Monday.
TreeHouse has agreed to pay Flagstone Foods owner Gryphon Investors and other shareholders $860 million in cash for the business, according to a press release from TreeHouse Foods.
Flagstone Foods is a leading maker of trail mix and dried fruit snacks, and has about 1,365 employees. It is headquartered in St. Paul, Minn., and operates two facilities in Minneapolis and Roberson, N.C.
Flagstone Foods reported sales of $697 million for the fiscal year ended Dec. 28, according to the press release.
"We are extremely enthusiastic about the acquisition of Flagstone Foods," TreeHouse Foods chairman, CEO and President Sam K. Reed said in a statement. "Flagstone Foods is ideally situated at the intersection of health and wellness, snacking and the perimeter of the store, and represents an attractive new platform for TreeHouse to enter the on-trend, rapidly growing $7.1 billion healthy snacks category."
TreeHouse is a food manufacturer servicing retail grocery and food service distribution channels.