Terms of the deal weren't disclosed, but Hershey said the transaction with private equity firm Shansby Group should be accretive over the next year. Hershey said Mauna Loa has annual sales of $80 million and 40% of the macadamia market.
"Mauna Loa's portfolio of premium macadamia nuts, nut-based confections and cookies is a great addition to Hershey's stable of iconic brands," said CEO Richard H. Lenny. "We're excited about the opportunity to unlock Mauna Loa's immense growth potential as we leverage Hershey's expertise in product innovation, nut processing, logistics and selling."
The acquisition is expected to be completed during the fourth quarter. On Monday, Hershey rose 80 cents to $52.27.