J.M. Smucker buys Sara Lee coffee business
January 4, 2012, Orrville, OH – The J. M. Smucker Company has completed the acquisition of a majority of Sara Lee's North American foodservice coffee and hot beverage business.
The acquisition includes Sara Lee's liquid coffee concentrate business (sold under the licensed Douwe Egberts brand), along with a variety of roast and ground coffee, cappuccino, tea, and cocoa products, sold through foodservice channels in North America.
"We are pleased to complete this transaction which adds the market-leading liquid coffee concentrate business to the Smucker portfolio," said Richard Smucker, chief executive officer. "The transaction further strengthens our position as a leading North American coffee company, provides new coffee technologies, and adds significant scale to our foodservice business. We are excited to welcome the nearly 475 new employees into the Smucker family."
The all cash purchase fulfills an agreement announced in October 2011.
In addition, the two companies have entered into a long-term innovation partnership to collaborate on liquid coffee technology for the foodservice market.