Smucker Sells $3.5 Billion Bond to Fund Hostess Deal
- The food giant issued the four-part debt offering on Wednesday
- The firm secured a $5.2 billion bridge loan in September
Packages of J.M. Smucker Co. Smucker's Uncrustables.
Photographer: Daniel Acker/BloombergThis article is for subscribers only.
The J.M. Smucker Co. tapped the US investment-grade bond market on Wednesday to help finance its acquisition of Hostess Brands Inc.
The American food manufacturing giant, also known as Smuckers, sold $3.5 billion of bonds in four parts, according to data compiled by Bloomberg. The longest portion of the offering, a 30-year fixed-rate note, yielded 1.80 percentage points above Treasuries, the data show. That’s tighter than initial discussions of around 2.05 percentage points, said a person with knowledge of the matter, who asked not to be identified as the details are private.