ORRVILLE, Ohio (AP) -- The J.M. Smucker Co. on Monday announced that it has sold its Hungry Jack brand potato products business -- but not the pancake and syrup business of the same name -- to Basic American Foods, a privately held food company based in Walnut Creek, Calif.
The financial terms of the deal were not disclosed.
Basic American, which has long manufactured the products for Smucker, will own the business and licensing rights to Idaho Spuds branded potatoes, as well as Hungry Jack potato products. But Hungry Jack pancake mix and syrup will remain with Smucker.
Smucker said the Hungry Jack potato business accounts for nearly $50 million in annual net sales.
The sale allows Smucker to continue its focus on breakfast with lines like Pillsbury, Folgers coffee and its namesake spreads. The deal will expand Basic American's retail presence.
Shares of Smucker rose 20 cents to close at $59.38 Monday.
