International Home Foods

International Home Foods (IHF) was an American manufacturer, distributor and marketer of food products, based in Parsippany, New Jersey. It was acquired in 2000 by ConAgra Foods and merged into ConAgra's Grocery Products division. IHF's best known brands were Chef Boyardee pasta products, Bumble Bee Seafood,[1] PAM cooking spray, and Gulden's mustard.[2]

International Home Foods, Inc.
TypePublic
NYSE: IHF
IndustryFood
PredecessorAmerican Home Foods division of American Home Products
FoundedNovember 1996 (1996-11)
DefunctJune 2000 (2000-06)
FateAcquired by ConAgra Foods
Headquarters
Parsippany, New Jersey
Key people
Dean Metropoulos (chairman and CEO)
Brands
Owners

History

The company was founded in November 1996 when American Home Products spun off its food business, American Home Foods, which was acquired by private equity firm Hicks, Muse, Tate & Furst and C. Dean Metropoulos & Co. and renamed International Home Foods.[3] The latter paid US$1.2 billion to acquire 80% of IHF.[4] Dean Metropoulos became chairman and CEO following the acquisition.[5]

In July 1997, IHF acquired Bumble Bee Seafoods out of bankruptcy protection for US$163 million plus the assumption of debt.[6] IHF went public in November 1997[7] and subsequently made a number of acquisitions in quick succession.

In March 1998 it acquired private-label foods producer Grist Mill Co. for US$100 million,[8] then bought Canadian canned meat and stew producer Puritan from Unilever subsidiary Lipton for US$39 million followed by canned soup and pasta producer Venice Maid,[9] and in August bought Libby's canned meat business from Nestlé for US$126 million.[10]

Following poor stock performance in 1998, its price dropping by over two-thirds in six months, IHF began looking for a buyer. The company's valuation issues were largely caused by investor disinterest in a company with such widely diversified brands. In December 1998, ConAgra offered IHF $20 per share but IHF rejected the offer as too low. This was followed by multiple negotiations with other companies over an 18-month period, none of which materialized.[5]

The company bought Canadian canned seafood brands Clover Leaf and Paramount in 1999 from George Weston Ltd.[11] and later that year raised US$9.6 million in 1999 with its sale of the Polaner fruit spreads brand[6] to B&G Foods.[12] Despite its lackluster stock performance, by 2000 the company had grown to annual sales of about US$2.2 billion.[4]

IHF was finally acquired in June 2000 by ConAgra Foods in a US$2.9 billion deal, $2 per share higher than ConAgra's initial 1998 offer.[13] Much of the former IHF operation was integrated into ConAgra's Irvine, California-based ConAgra Grocery Products division.[14]

Brands

During its four years in operation, International Home Foods owned a variety of brands including:

References
  1. Harwell, Drew (3 Nov 2014). "Giving old brands new life". Chicago Tribune. pp. 2–3. Retrieved 2 Mar 2022 – via Newspapers.com.
  2. "ConAgra sells seafood business". Times-News. Knight Ridder. 22 May 2003. pp. B5, B7. Retrieved 2 Mar 2022 – via Newspapers.com.
  3. Fuquay, Jim (24 Jun 2000). "Investor Hicks announces 2 mega-deals". Fort Worth Star-Telegram. pp. 1C, 2C. Retrieved 2 Mar 2022 – via Newspapers.com.
  4. Kilman, Scott (26 Jun 2000). "ConAgra, International Home Foods Join Sector's Consolidation Bandwagon". Wall Street Journal. ISSN 0099-9660. Retrieved 2 Mar 2022.
  5. O'Reiley, Tim (7 Jul 2000). "IHF trod a rocky road to ConAgra sale". Daily Record. p. B1. Retrieved 2 Mar 2022 – via Newspapers.com.
  6. "ConAgra to Buy International Home For About $1.63 Billion in Cash, Stock". Wall Street Journal. 24 Jun 2000. ISSN 0099-9660. Retrieved 2 Mar 2022.
  7. "International Home Foods Hopes Famous Names Deliver: IPO Focus". Bloomberg. 17 Nov 1997. Retrieved 2 Mar 2022.
  8. "$100 Million Merger by Makers of Private-Label Foods". New York Times. Bloomberg News. 12 Mar 1998. pp. D4. ISSN 0362-4331. Retrieved 2 Mar 2022.
  9. "International Home Foods to buy Venice Maid Foods". New York Times. Associated Press. 28 May 1998. p. D3. ISSN 0362-4331. Retrieved 2 Mar 2022.
  10. "International Home Foods is Adding Businesses". New York Times. Bloomberg News. 15 Aug 1998. ISSN 0362-4331. Retrieved 2 Mar 2022.
  11. "Weston sells B.C. canned fish business". CBC News. 4 Jan 1999. Retrieved 2 Mar 2022.
  12. "B&G Foods Purchases Polaner from International Home Foods". Food Online. 14 Jan 1999. Retrieved 2 Mar 2022.
  13. "ConAgra to acquire International Home Foods". New York Times. Reuters. 24 Jun 2000. p. C3. ISSN 0362-4331. Retrieved 2 Mar 2022.
  14. McArdle, Patrick (24 Feb 2001). "ConAgra provides plateful of products from which to choose". Daily Item. p. A12. Retrieved 2 Mar 2022 – via Newspapers.com.
  15. Cole, Patrick (24 Jun 2000). "ConAgra expands its food pantry". Chicago Tribune. pp. 2–1, 2–2. Retrieved 2 Mar 2022 – via Newspapers.com.
  16. Fuquay, Jim (15 Sep 2006). "Beans plant to shut its doors". Fort Worth Star-Telegram. pp. 1C, 3C. Retrieved 2 Mar 2022 – via Newspapers.com.
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