TreeHouse Foods Provides Update On Acquisition Of ConAgra's Private Brands, Notes Acquisition 'Will Establish An Industry Leader'

TreeHouse Foods Inc. (NYSE: THS) released after Wednesday's market close a business update concerning its proposed acquisition of ConAgra Foods Inc (NYSE: CAG)'s Private Brand.

TreeHouse Foods confirmed that 9,500 employees, including more than 280 Omaha, Nebraska-based employees, will transition to TreeHouse from ConAgra when its acquisition is finalized in the first quarter.

TreeHouse also announced that it will open a new office facility in Omaha, later this year that will be used to support ConAgra Private Brands' customers in areas of customer service, finance, information technology, research & development and supply chain.

"Our transformational acquisition will establish an industry leader in customer brands and custom products with significant scale, scope and skill and will enable us to extend our reach in the grocery store by over 10 shelf stable and refrigerated food categories," said Sam K. Reed, Chairman and Chief Executive Officer of TreeHouse Foods. "Importantly, the combination will also strengthen our ability to support our customers' efforts to build their corporate brands and offer consumers the best combination of choice and value."

Shares of TreeHouse Foods have lost more than 13 percent since the start of 2016 and have lost more than 25 percent over the past year.