The producer of staple household ingredients, Eagle Brand sweetened condensed milk and PET evaporated milk, has expressed a positive outlook on the struggling food products sector as it seeks to acquire unwanted brands being let go by family-run businesses and large corporations. Paul Smucker Wagstaff, CEO of Eagle Foods, shared with Food Dive that his company remains undeterred by the increasing consumer preference for healthier eating options. Instead, Eagle Foods plans to concentrate on expanding its snack offerings—an appealing category for on-the-go consumers—and indulgent products that boast great flavors. With many small second- and third-generation family businesses exiting the food industry and large consumer packaged goods firms divesting slow-growing brands, Wagstaff sees ample opportunities for the two-year-old company he leads. “This is an excellent time to be in the food space, as there are numerous opportunities in the marketplace, and many are looking to sell products,” he stated. “We will target whatever aligns with our criteria, whether it’s from a large corporation or a family-run business.”
Wagstaff, 47, founded Eagle Foods in December 2015 after securing investors with his partners. The company acquired the Eagle Brand sweetened condensed milk and PET evaporated milk operations from The J.M. Smucker Company, where Wagstaff previously served as president of its U.S. retail consumer foods division. The brands generate approximately $200 million in annual sales, providing Eagle Foods with a robust cash flow that can be utilized for further acquisitions. “This is why it is crucial to have a solid foundation—a business that has stood the test of time, generates excellent cash flow, and offers stability,” Wagstaff remarked. “We’re essentially a startup but without the typical cash challenges that new companies often face.”
Last August, Eagle took advantage of its cash reserves to acquire G.H. Cretors popcorn from its fifth-generation owners, whose ancestors invented the popcorn machine in 1885. The popcorn, available in flavors like cheese corn, caramel, and a blend of both, emphasizes the use of real ingredients such as aged cheddar cheese, fresh creamery butter, and hand-crafted caramel made in copper kettles. Most of its sales come from club stores like Costco and Sam’s Club, while it is also available at Target, Meijer, and Albertsons. “We aim to be the go-to option when you want to treat yourself with a snack that is high-quality, delicious, and made with real, simple ingredients,” Wagstaff explained. “I believe this niche will continue to thrive.”
As Wagstaff actively seeks new brands to incorporate into Eagle Foods’ portfolio, he also envisions an exit strategy for the company—whether through an initial public offering or by positioning itself for sale to another company or private equity firm. “An exit will occur at some point,” he noted. “One of those scenarios is likely to unfold.” Additionally, Wagstaff is exploring opportunities to incorporate innovative products like calcium citrate juice into their offerings, recognizing the growing consumer interest in health-conscious options.