05:21 PM EST, 12/10/2025 (MT Newswires) -- Premium Brands Holdings ( PRBZF ) on Wednesday said it agreed to acquire Stampede Culinary Partners, a U.S. foods company, to expand its market presence for US$662.5 million.

The company said it will pay US$512.5 million in cash and shares worth US$150 million, or approximately 2.2-million shares.

The seller may receive up to US$100 million if Stampede achieves certain profit targets in the first two full fiscal years after the acquisition is completed.

The deal will accelerate Premium's growth by "strengthening our presence in the U.S. foodservice channel" and "enhancing our production capabilities through the addition of sous vide cooking capacity as most of our existing cooking capacity uses flame grilled technology and providing us with access to significant unused production capacity," said chief executive George Paleologou.

Closing of the acquisition is conditional upon the satisfaction of customary conditions, including approvals under the Hart-Scott-Rodino Antitrust Improvements Act (the "HSR Act") and is expected to be completed by the end of January 2026.

In connection with the acquisition, Premium Brands ( PRBZF ) is raising about $880 million. On Wednesday, it announced an agreement with a syndicate of underwriters that has agreed to purchase (i) 2.9-million subscription receipts at a price of $97.50 per public subscription receipt, for gross proceeds of approximately $280 million, and (ii) $150 million aggregate principal amount of 5.50% convertible unsecured subordinated debentures at a price of $1,000 per Debenture, for gross proceeds of approximately $430 million.

Concurrently with the public offering, the company agreed to issue, on a private placement basis, 1.7-million subscription receipts to two institutional investors at a price of $97.50 per receipt.

The company intends to use the net proceeds of the offering to partially fund the cash purchase price of the acquisition while the balance of the cash purchase price will be funded by drawing on the company's revolving credit facility.

Premium Brands' ( PRBZF ) shares closed down C$0.17 to C$102.59 on the Toronto Stock Exchange.