After Tuesday’s closing bell, JM Smucker (SJM) announced that it has agreed to acquire Big Heart Pet Brands. Here’s what the news means for mutual fund investors.

Shares of JM Smucker soared after it announced that it agreed to acquire Big Heart Pet Brands for $5.8 billion, including $2.6 billion in debt. This deal will make pet food Smucker’s second largest business behind coffee.

Big Heart Pet Brands portfolio of brands includes Meow Mix, Milk-Bone and Kibbles ’n Bits. This deal is expected to close by the end of April.

When the acquisition is complete, pet food will be SJM’s second largest business, after coffee, which currently accounts for approximately 46% of the company’s portfolio. By purchasing the pet food powerhouse, SJM will be able to dominate more shelf space in stores.

From a valuation standpoint, SJM is trading at about 20x 2015 earnings estimates, which is fairly attractive. The company also offers a decent dividend yield of about 2.26% for income-focused investors, and has a dividend payout ratio of 46.2%.

Investors interested in SJM may also consider a mutual fund as an alternative to owning the individual stock. The funds below currently hold the largest stakes in SJM.

The funds above are a great way for investors to gain exposure to a diverse bundle of securities and industries. Investors interested in SJM may also be interested in General Mills (GIS) and Kraft (KRFT).