Cramer: Pirate’s Booty for the Portfolio?

(Click for video linked to a searchable transcript of this Mad Money segment)

Sometimes companies can create a treasure trove of value simply by making a strategic acquisition.

And few acquisitions appear to be more strategic than the $195 million deal inked by B&G to acquire Pirate Brands, and it's line of natural snacks which includes the popular Pirate's Booty.

The deal is expected to bolster B&G's presence in the natural snacks market, an area of retail that's growing rapidly as more people seek out healthier food alternatives.

Although reports had suggested the purchase price was at a higher valuation than what B&G paid for other companies in the past, Cramer's comments suggested the money was well spent.

S-cphoto | E+ | Getty Images

"B&G is a master of buying smaller brands and giving them the support they need to grow, and this Pirate's Booty deal will be immediately additive to the company's earnings and its cash flow," Cramer explained.

In what Cramer can only view as a vote of confidence from the Street, "On the news, B&G jumped from $29 and $31, a 6.8% gain, and despite the latest sell-off, the stock has held its ground," Cramer said.

Considering most acquirers fall after an M&A announcement, the price action speaks volumes to Cramer.

Read More from Mad Money with Jim Cramer
Cramer: Stock Strategies Just Changed
Pros Making Insane Mistake
Cramer: This Stock Seems Cheap

"There are some companies in the market that can create tremendous value via acquisitions," said Cramer. "In this case, not only did the stock of the target go up, but so did the stock of the acquirer. That's a fabulous dynamic."

Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer

    Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.

Mad Money Moments

Cramer's New Book