The acquisition comes on the back of the growth in Weetabix’s UK market share for cereals and drinks, rising from 15.3% to 16.4%, in the past year as consumers look for more nutritious, tasty and convenient breakfast choices.
Owners Bright Food, which bought a 60% stake five years ago, put the company up for sale in January. Weetabix has doubled sales in its owner’s home country China but its major markets remain in the UK and North America.
Weetabix chief executive Giles Turrell (pictured) said the deal was a major stepping stone for the company’s expansion plans.
Post Holdings, Inc., headquartered in St Louis, Missouri, is a leader in the North American ready-to-eat cereal category. The combination of Post and Weetabix will boost international growth opportunities.
Mr Turrell said the deal is “great news” for Weetabix’s brands and employees at its headquarters in Burton Latimer. The company also has a factory at Corby.
He added: “The past five years have seen us increase our branded sales at home and overseas. Post is a leader within its markets and I am confident they will help us open doors for continued expansion.”
Post Holdings has agreed in principle to establish a joint venture with previous owners the Bright Food Group and Barings Private Equity Asia to manage the Chinese operations.