With the lease expiring on the Mama Mary’s facility in Spartanburg, South Carolina, B&G is shifting the brand’s manufacturing and warehouse operations to its site in Yadkinville, North Carolina.
Mama Mary’s operations are expected to fully move by mid-October this year, and B&G said it had put in place an employee assistance plan to offer eligible employees severance and support finding new employment.
B&G added it did not anticipate disruption in production or delivery of customer orders for Mama Mary’s products.
The company’s Yadkinville facility currently produces B&G baked goods and snacks brands New York Style and Old London, and the company said the site had capacity to “seamlessly integrate” production of Mama Mary’s products.
“Although this was a difficult decision, we believe that consolidating Mama Mary’s operations with the production facility we own in Yadkinville, North Carolina is in the best long-term interests of B&G Foods, our employees and our stockholders,” said B&G Foods president and chief executive officer Robert C Cantwell.
He added the decision to close the site is consistent with the company’s ongoing efforts to reduce excess capacity, improve productivity and operating efficiencies and reduce costs.
Robert C Cantwell, president and chief executive officer, B&G Foods
“We are grateful for the dedication and support of each of our team members and we appreciate their contribution in building the Mama Mary’s brand,” said Cantwell.
Leading shelf-staple pizza crust brand
At the time it acquired Spartan Foods, which traded as Mama Mary’s, from owner Linsalata Capital Partners, B&G described Mama Mary’s as the number one brand of shelf-stable prize crust by unit volume in the retail channel.
It said that, after being fully integrated into B&G Foods, the brand will generate annualized net sales of around $35m and adjusted EBITDA of around $7.5m.
Speaking about the deal last July, Cantwell said: “Under the leadership of Linsalata Capital, the company has built a solid and profitable business.”