FDBusiness.com

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

 Breaking News
  • Vion Names New CEO Vion, the international meat group, has appointed Ronald Lotgerink as its new CEO with effect from 1 September. Ronald Lotgerink is currently the CEO of Zwanenberg Food Group, a leading European producer and exporter of meat products, canned meat, snacks, soups and sauces. Ronald Lotgerink started his career at KPMG. In 1989 he joined Zwanenberg Food [...]...
  • Harrogate Water Reports Record Sales Harrogate Water has announced another year of record sales with growth of 24 per cent – almost four times higher than market growth for bottled water. The company has seen increased sales in the high-volume supermarket sector, continued strong growth in export and travel markets and greater demand for premium glass products in both grocery [...]...
  • Alcohol Worth £16 Billion is UK’s Leading FMCG Category Innovation in the drinks sector and a reduction in the amount of trade promotions has seen Alcohol retain its place as the top selling FMCG category in the UK, worth £16.1 billion (€18.2 billion) in value sales to the economy. This is according to big data and technology expert for consumer industries, IRI’s Top Categories Special Report – an analysis [...]...
  • Irish Grocery Market Fends Off the Beast from the East The latest grocery market share figures from Kantar Worldpanel, published today for the 12 weeks ending 25 March 2018, show that the Irish grocery market brushed off the Beast from the East to post strong sales growth of 3.8%. Douglas Faughnan, consumer insight director at Kantar Worldpanel, comments: “Although shoppers had upped their spend in preparation for [...]...
  • TrayTrack – A Unique Inline Overhead Concept For Optimum Tray Logistics Once trays have been filled with product, poultry processors will often be faced with how to transport them to packaging equipment elsewhere in the plant. This job can be done manually using crates. Alternatively, product can be transported on a complex system of belt conveyors, usually criss-crossing other similar systems. TrayTrack, a unique automated solution [...]...

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 19, 2018Expo Drink & Wine
  • April 19, 2018GastroPan Exhibition
  • April 22, 2018Natural & Organic Products 
  • April 24, 2018Seafood Processing Global
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements