CHICAGO, Feb. 20, 2018 /CNW/ -- Today Conagra Brands, Inc. (NYSE: CAG) announced that it has entered into a definitive agreement to sell its Del Monte processed fruit and vegetable business in Canada to Bonduelle Group. The sale is subject to customary closing conditions and is expected to be completed before the end of May 2018. The transaction is valued at approximately CA$43 million, which is approximately US$34 million at the current exchange rate.
"We continue to reshape our portfolio and focus resources in areas that best support our business strategy and drive value creation for shareholders," said Sean Connolly, president and chief executive officer of Conagra Brands. "Del Monte is a strong brand in Canada with quality products, and we believe the Del Monte processed fruit and vegetable business will continue to thrive under Bonduelle's ownership."
RBC Capital Markets served as financial advisor to Conagra Brands.
About Conagra Brands
Conagra Brands, Inc. (NYSE: CAG), headquartered in Chicago, is one of North America's leading branded food companies. Guided by an entrepreneurial spirit, Conagra Brands combines a rich heritage of making great food with a sharpened focus on innovation. The company's portfolio is evolving to satisfy people's changing food preferences. Conagra's iconic brands, such as Marie Callender's®, Hunt's®, Healthy Choice®, Slim Jim®, Orville Redenbacher's®, VH®, POGO®, Aylmer®, as well as emerging brands, including Alexia®, Frontera®, Duke's® and Angie's® BOOMCHICKAPOP®, offer choices for every occasion. For more information, visit www.conagrabrands.com.
Note on Forward-looking Statement
This press release contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. These forward-looking statements include, among others, statements regarding expected benefits of the pending divestiture of the company's Del Monte processed fruit and vegetable business in Canada ("Del Monte business"), regulatory approvals, and the expected timing of the completion of the transaction. Readers of this press release should understand that these statements are not guarantees of performance or results. There is no assurance that the pending divestiture of the Del Monte business will be completed, and there are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements made herein. These risks and uncertainties include, among other things: the timing to complete the pending divestiture of the Del Monte business; the ability and timing to obtain required regulatory approvals and satisfy other closing conditions for the pending divestiture of the Del Monte business; our ability to achieve the intended benefits of acquisitions and divestitures, including the company's pending divestiture of its Del Monte business and the recent spin-off of its Lamb Weston business; and the other risks described in the company's reports filed from time to time with the Securities and Exchange Commission. We caution readers not to place undue reliance on any forward-looking statements included in this press release, which speak only as of the date of this press release. We undertake no responsibility to update these statements.