RTTNews | Dec 3, 2020 09:45PM EST

21:45 Thursday, December 3, 2020 (RTTNews.com) - J.M. Smucker Co. (SJM) agreed to sell its Natural Balance premium pet food business to Nexus Capital Management LP, in a cash transaction valued at about $50 million.

The deal encompasses pet food products sold under the Natural Balance brand, certain trademarks and licensing agreements, and select employees who support the Natural Balance business. The business generated net sales of about $220 million for the company's fiscal year ended April 30, 2020.

The company expects the divestiture to be dilutive to its adjusted earnings per share in the range of $0.05 to $0.10 on a full-year basis, reflecting the foregone profit related to the Natural Balance business, before factoring in any potential benefit from the use of proceeds from the sale.

The transaction is expected to close in the third quarter of the company's 2021 fiscal year.

Read the original article on RTTNews ( https://www.rttnews.com/3150911/j-m-smucker-to-sell-natural-balance-premium-pet-food-business-to-nexus-capital.aspx)

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