Campbell Soup to Buy Bolthouse Farms for $1.55 Billion in Cash (CPB)

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Packaged foods maker Campbell Soup Company ( CPB ) on Monday announced it would acquire natural food and beverage maker Bolthouse Farms for $1.55 billion in an all-cash deal.

Bolthouse is currently owned by private equity firm Madison Dearborn Partners. The company produces natural, healthy products like fresh carrots, super-premium beverages, and refrigerated salad dressings.

Campbell said it will continue to operate Bolthouse Farms as a separate business unit. It will fund the acquisition via a combination of short- and long-term debt. Subject to regulatory approvals, the deal is expected to close by the end of summer 2012.

Campbell Soup shares posted modest gains in premarket trading Monday.

The Bottom Line
Shares of Campbell Soup ( CPB ) have a 3.52% dividend yield, based on Friday's closing stock price of $32.99. The stock has technical support in the $30-$32 price area. If the shares can firm up, we see overhead resistance around the $34-$35 price levels.

Campbell Soup Company ( CPB ) is not recommended at this time, holding a DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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