Cerealto divests pasta business to sharpen snacking focus

Spanish private-label manufacturer Cerealto has agreed to sell its pasta business and associated production site in Venta de Baños, Spain, to Portuguese food group Cerealis, as the company doubles down on its snacking and breakfast categories. 

The deal, which is subject to regulatory approval from Spain’s CNMC and Portugal’s AdC, includes the transfer of around 125 staff. Financial terms of the details were not disclosed. 

Cerealto says its pasta division, which accounts for roughly 19% of total revenue, or more than €100 million (US$104 million), is profitable and has benefited from sustained capital investment. But the company believes the business will reach its full potential under a dedicated pasta operator like Cerealis.

“This agreement is an important step in Cerealto’s growth strategy, allowing us to focus our efforts on global snack and breakfast categories, where we have a deep specialism and strong headroom for growth,” says CEO Bosco Fonts. “We are pleased to have met a new operator that is a specialist in pasta and has the capability to continue developing the business, while retaining the employment and working conditions for our colleagues.”

Cerealto says no changes are planned to the workforce or day-to-day operations at the Venta de Baños facility. A transition phase will begin once regulatory approvals are secured.

Snacking strategy accelerates

The divestiture follows Cerealto’s acquisition of a majority stake in US-based Fresca Foods in November 2024, which gave the company its first manufacturing footprint in the US market. That deal targeted the US natural and organic snacking sector, valued at around US$32 billion and growing at more than 6% annually, according to the company. 

With the pasta unit stripped out, Cerealto’s remaining portfolio — biscuits, cereals, snack bars, and corn, and rice cakes — generated roughly €526 million (US$548 million) in sales across its 2024 financial year, up 6% year on year. The company plans to invest €50 million (US$52 million) in expanding production capacity and pursuing further acquisitions.

The move reflects broader consolidation trends among mid-sized food manufacturers seeking to streamline portfolios and build scale in higher-growth categories. Private label, in particular, has become a battleground as retailer consolidation and margin pressure demand operational focus and category expertise.

Innova Market Insights data underscores the momentum behind snacking innovation. According to the firm’s research, 56% of global consumers snack daily and 86% snack weekly, with health-conscious options — protein-enriched, low-sodium, and plant-based — driving product development. The company’s top trends for 2026 place “Powerhouse Protein” and gut health at the center of snacking innovation, with cereal energy bars leading health claim penetration at 81%.