US manufacturer B&G Foods has officially sold its Don Pepino and Sclafani sauces and canned tomatoes brands to investor-backed Violet Foods.
Violet Foods is a newly established portfolio company of Amphora Equity Partners, specializing in investments within the North American packaged food and beverage sector.
This strategic deal includes the manufacturing facility located in Williamstown, New Jersey, where B&G Foods produces these well-known branded products.
The Don Pepino brand consists of pizza and pasta sauces, originally created by the Sclafani family in 1950. Additionally, the Sclafani product line features a variety of canned tomatoes and sauces.
According to B&G Foods, the proceeds from this sale will primarily be allocated to repaying “long-term debt.”
Financial terms of the transaction remain undisclosed.
B&G Foods’ President and CEO, Casey Keller, stated: “The divestiture of the Don Pepino and Sclafani brands is consistent with our efforts to reshape our portfolio, focus on our core brands, and reduce long-term debt. We believe that Amphora is the right owner to support the future growth of the Don Pepino and Sclafani brands.”
Headquartered in Parsippany, New Jersey, B&G Foods manufactures, sells, and distributes its diverse range of products across the US, Canada, and Puerto Rico. Its extensive portfolio includes over 50 trusted brands, such as B&G, B&M, Bear Creek, Cream of Wheat, Crisco, Dash, Green Giant, and Victoria.
The sale of these brands follows B&G Foods recording impairments across a group of four brands, charges which deepened the company’s financial difficulties in 2024.
The company reported charges of $320 million, primarily related to intangible trademark assets associated with its Green Giant, Victoria, Static Guard, and McCann’s brands.
At that time, B&G Foods projected its net sales for fiscal 2025 to fall between $1.89 billion and $1.95 billion, anticipating adjusted EBITDA of $290 million to $300 million and adjusted diluted earnings per share of $0.65 to $0.75.
However, in May, B&G Foods revised its guidance for FY25 net sales, now expected to range from $1.86 billion to $1.91 billion, with adjusted EBITDA projected at $280 million to $290 million and adjusted diluted earnings per share between $0.55 and $0.65.
This reduction followed B&G Foods’ first-quarter results, which revealed a 10.5% decline in total net sales, amounting to $425.4 million.
Furthermore, net sales in the Speciality Foods segment, which includes Don Pepino and Sclafani, saw a significant drop of 13.1% year-on-year, totaling $134.4 million.
