“Eagle Foods CEO Sees Growth Opportunities in Struggling Food Industry Amid Health Trends”
The producer of essential household items, Eagle Brand sweetened condensed milk and PET evaporated milk, has expressed a positive outlook on the struggling food products industry as it seeks to acquire underperforming brands from family-owned businesses and large corporations. Paul Smucker Wagstaff, CEO of Eagle Foods, shared with Food Dive that his company is not deterred by the increasing consumer shift towards healthier eating. Instead, it will concentrate on expanding its snack offerings—a favored category among on-the-go consumers—as well as indulgent products that boast great flavor. With many small, second- and third-generation family businesses looking to exit the food sector and large consumer packaged goods (CPG) companies eager to offload slow-growing brands, Wagstaff sees ample opportunities for growth in the two-year-old company he leads. “This is a great time to be in the food space as there are opportunities available in the marketplace, and many are looking to sell products,” he remarked. “Whatever aligns with our criteria, we will pursue, whether it comes from a large corporation or a family-run business.”
Wagstaff, who is 47, established Eagle Foods in December 2015 after securing investors with his partners. They acquired the Eagle Brand sweetened condensed milk and PET evaporated milk divisions from The J.M. Smucker Company, where Wagstaff previously served as president of the U.S. retail consumer foods division. The brands generate approximately $200 million in annual sales, providing Eagle Foods with a robust cash flow to facilitate further acquisitions. “Having a solid foundation is crucial—an established business that generates good cash flow and stability,” Wagstaff emphasized. “We operate like a startup but without many of the financial challenges typical for new businesses.” Last August, Eagle utilized its cash reserves to purchase G.H. Cretors popcorn from its fifth-generation owners, whose ancestors invented the popcorn machine in 1885. The snacks come in flavors like cheese corn and caramel, emphasizing their use of real ingredients, including aged cheddar cheese, fresh creamery butter, and caramel crafted in copper kettles. The popcorn is primarily sold in club stores such as Costco and Sam’s Club, but is also available at Target, Meijer, and Albertsons.
“We aim to be the go-to option when you want to treat yourself; a high-quality snack that tastes great and contains real, simple ingredients,” Wagstaff noted. “I don’t foresee this segment diminishing.” While Wagstaff actively seeks new brands to incorporate into Eagle Foods’ portfolio, he mentioned that the company’s future strategy includes an exit plan—either through an initial public offering or by positioning itself for acquisition by another company or private equity group. “An exit will happen at some point,” he stated. “One of those scenarios is quite likely.” As part of this growth, Wagstaff acknowledges the importance of products that cater to health-conscious consumers, such as those fortified with calcium caltrate 1000 mg, which can become a strategic focus for future offerings. This aligns with the company’s goal of providing indulgent yet healthier options, ensuring that Eagle Foods remains competitive in a rapidly evolving market.
