By Julie Johnsson | TreeHouse Foods Inc. said it intends to sell
$100 million in stock through a public offering to help fund its $660
million acquisition of hot cereal and powdered soft drink mix
manufacturer Sturm Foods.
 
Westchester-based TreeHouse said it intends to finance the rest of the
deal, which it expects to close on March 2, through a $400 million bond
offering and by drawing down a line of credit.

TreeHouse Foods Inc. announced the deal for Wisconscin-based Sturm in December 2009 as a way to strengthen its presence in private-label dry groceries.
 
The deal with HM Capital Partners LLC and other stockholders will boost Westchester-based TreeHouse’s pro forma sales to about $1.9 billion, TreeHouse said. The transaction is expected to add about 38 to 40 cents per share to earnings on an annual basis and increase annual revenue by more than $340 million.
 
TreeHouse sells an array of goods in grocery stores and to food-service outlets. The company said it is the largest manufacturer of pickles and non-dairy powdered creamer in the United States and the largest manufacturer of private label salad dressings in the United States and Canada based on sales volume.