FDBusiness.com

US Post Holdings to Acquire Weetabix in US$1.76 Billion Deal

 Breaking News
  • Record Results For Mahou San Miguel Mahou San Miguel, the 100% family-owned Spanish brewer, and the industry leader in Spain, has announced the best-ever full-year results in the company’s history. Mahou San Miguel’s turnover increased by 3.6% in 2016 to €1.22 billion, the highest figure ever reached. It has also seen a significant rise in its operating profits which stood at [...]...
  • International Brewing & Cider Awards Winners Brewers and cider makers from across the world gathered at London’s Guildhall on 26 April for the unveiling of the Championship winners in the International Brewing & Cider Awards 2017. Trophies were awarded to nine brewers and one cider maker from three continents, with all bar one of them winning a Championship for the first [...]...
  • £5 Million Boost For Five Star 2 Sisters Food Group, Britain’s biggest food manufacturer, has invested £5 million in the expansion and upgrade of its secondary processing site in Grimsby. The investment at Five Star Fish comes on the back of new chilled business that was won at the turn of the year. The upgrade has introduced new technology, added an [...]...
  • How to Achieve the Best Results From Key Ingredients Using Silverson Mixers Silverson Machines Ltd have recently released a series of new ‘How to’ videos on their YouTube channel intended to demonstrate and instruct how to get the best results from various key ingredients in the food industry. Produced by Silverson’s videographer Emanuel Caetano, the series includes ‘How to’ information on applications such as Mixing Xanthan Gum, Dispersing [...]...
  • The Admix Fastfeed System – Revolutionizing Batching The Admix Fastfeed powder induction and dispersion system consistently delivers smooth product for any batch size at controlled feed rates up to 450 pounds per minute in a single pass. With hundreds of global installations, food and beverage processors rely on this system to: Cut batch times in half Improve operator safety and ergonomics Reduce energy consumption up [...]...
  • Glanbia to Sell 60% of Dairy Ireland Glanbia plc, the global nutrition group, has agreed to sell 60% of its Dairy Ireland segment to Glanbia Co-op. Dairy Ireland is currently 100% owned by Glanbia plc and is comprised of two business units, Glanbia Consumer Foods Ireland and Glanbia Agribusiness. In 2016, Dairy Ireland generated revenue of €616.2 million, earnings before interest, tax and [...]...

US Post Holdings to Acquire Weetabix in US$1.76 Billion Deal

April 18
11:10 2017

The UK’s iconic cereal brand Weetabix is reportedly being swallowed up by US Post Holdings in a £1.4 billion (US$1.7 million) deal. Chinese owners, The Bright Group, took a 60% share in Weetabix in May 2012 with Baring Private Equity Asia acquiring the remaining 40% from Lion Capital in 2015.

Speculation has been mounting since the beginning of the year after reports in January claimed a potential four bidders – including Post Holdings, Associated British Food, Cereal Partners Worldwide and Italian pasta maker Barilla – were looking into buying Weetabix. Now, the cereal is to be sold with Reuters reporting that a spokesman for the Chinese conglomerate has confirmed the sale today (April 18).

If the sale goes through, this would be the end of Chinese ownership. When The Bright Group first took over, the idea was to push the oval-shaped high-fibre breakfast cereal in potentially lucrative Asian markets, something which has not really been successful in recent years as consumers are not traditionally used to eating cold breakfast cereals with milk.

Headquartered in Missouri, US, Post Holdings Inc., is a consumer packaged goods holding company active in the foodservice, ingredients, private label, refrigerated and nutrition categories and also makes other cereals popular in the US including Cocoa Pebbles and Golden Crisp.

Earlier this year, Weetabix announced a £30 million (US$37 million) capital investment program across its British manufacturing sites to create new production capacity by 2018 to keep pace with increasing sales domestically and overseas. The investment came on the back of Weetabix’s UK market share for cereals and drinks rising from 15.3% to 16.4% in the past year.

Currently the UK cereal is manufactured in Northamptonshire and exported to more than 80 countries worldwide, while Weetabix for the US and Canadian markets is manufactured in Ontario.

About Author

editor

editor

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • April 27, 2017Coffeena
  • April 30, 2017ASIAN FOOD & BUSINESS EXPO 2017
  • May 3, 2017Food & Hospitality Africa
  • May 5, 2017Green Festival Expo NYC 2017
AEC v1.0.4

The Magazine

F&D Business Preferred Suppliers

Advertisements