JM Smucker to spend over $120M on Hostess plant expansion

The Twinkies owner was acquired two years ago for $5.6 billion, but has since seen demand wane amid inflation and an uptick in the use of GLP-1 drugs.

JM Smucker to spend over $120M on Hostess plant expansion
Hostess Twinkies and CupCakes are displayed on a store shelf on May 17, 2021, in San Anselmo, California. · Source: Food Dive

Food Dive reported the development on 2025-10-03. The Twinkies owner was acquired two years ago for $5.6 billion, but has since seen demand wane amid inflation and an uptick in the use of GLP-1 drugs.

The report places the news in a wider commercial context. J.M. Smucker plans to spend $120 million to expand production at its Hostess manufacturing plant in Columbus, Georgia. The investment will go toward the construction of a new building, renovation of certain areas of the facility and new equipment, according to Pace Halter, chairman of Choose Columbus, the city’s economic development group.

For the food sector, the practical implications extend beyond the immediate announcement. “We are pleased to have this opportunity to expand production at our Columbus, Georgia, manufacturing facility to continue to meet the needs of our consumers,” Beaux Williamson, facility manager for J.M. Smucker, said in a statement.

Attention now turns to how companies, customers and regulators respond. But since then, inflation, economic uncertainty and the growing use of appetite-suppressing GLP-1 drugs have weighed on the brand. Barron’s noted that Smucker has taken nearly $2 billion in write-downs related to its Hostess investment. The company told Wall Street in September that it reduced Hostess’ SKU count by 25% to help stabilize the brand and better position it for growth.

Original source

Food Dive

https://www.fooddive.com/news/jm-smucker-spending-more-than-120m-to-expand-hostess-plant/801792/

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