Conagra announced today that it is selling its line of Chef Boyardee products to Hometown Foods Company, a portfolio company of Brynwood Partners, for $600 million. The deal is expected to close in the second quarter of 2025.
Included in the sale are all shelf-stable Chef Boyardee products including its ready-to-eat pasta meals. Additionally, the transaction includes the 820,000-sq.-ft. Milton, Pa., manufacturing facility as well as all assets and operations dedicated to the Chef Boyardee shelf-stable products with the exception of frozen skillet meals, which will be licensed by Hometown Food Company to Conagra. The Milton facility currently employs approximately 500 people.
"The Chef Boyardee divestiture marks another milestone in reshaping the Conagra Brands portfolio for better long-term growth, while also paying down debt. Despite the uncertain external environment, Conagra remains proactive in its pursuit of shareholder-value creation. By deepening our focus on our leading, growth-oriented frozen and healthy-snacking businesses, we continue to build a more focused company with modern consumer brands," says Sean Connolly, President and Chief Executive Officer of Conagra Brands.
"We are thrilled to welcome Chef Boyardee into the Hometown family and will run the business from our corporate headquarters in Chicago," says Tom Polke, President and CEO of Hometown Food Company. "We look forward to working with the Conagra team to effect a smooth transition of the business."
Chef Boyardee increases the total Brynwood manufacturing network to 20 U.S. facilities, approximately 5,500 employees, and more than $3.7 billion in annual sales. Four of Brynwood's portfolio companies are based in the Chicagoland area and are supported by six factories.
