
- Industry news
Industry news
- Category news
Category news
- Reports
- Key trends
- Multimedia
Multimedia
- Journal
- Events
- Suppliers
Suppliers
- Home
- Industry news
Industry news
- Category news
Category news
- Reports
- Key trends
- Multimedia
Multimedia
- Events
- Suppliers
Suppliers

27 Jan 2015 --- Post Holdings, is to acquire its biggest competitor, MOM Brands, to become the US third largest cereals company.
The deal, reported to be worth $1.15bn, will place the cereals company, which makes household names Honey Bunches of Oats and Raisin Bran, in third place on the cereals aisle, behind Nestlé and General Mills. Shares in Post Holdings jumped 17% following the announcement.
Post Holdings was spun off from Ralcorp in 2012 and has been actively pursuing opportunities in the food and beverage category since. The cereal maker announced the acquisition of egg and dairy producer and distributor Michael Foods for $2.45 billion last year.
Post announced that Richard Koulouris, former president of Ralcorp’s food group, would lead the combined cereal business of MOM Brands and Post.
MOM Brands is a leader in the ready-to-eat (RTE) cereal value segment, with over 95 years of experience in providing high quality RTE and hot cereal products. MOM Brands has a broad product portfolio, strategically targeting the value segment in branded RTE cereal, private label, and hot wheat and oatmeal. Post and MOM Brands together solidify Post's position as the third largest provider of RTE cereal with a combined dollar share of approximately 18%.
"For Post, this is the right move, at the right price, in the right category," said Rob Vitale, Post's President and CEO. "After a century of spirited rivalry between MOM Brands and Post, we now look forward to combining our strengths."
Together, Post and MOM Brands will own a diverse portfolio of complementary RTE and hot cereal products. This transaction significantly increases Post's presence in the growing bagged and hot cereal segments and solidifies Post and MOM Brands' leadership in the value segment of the RTE cereal category.
Bill Stiritz, Post's Executive Chairman, said, "I have admired MOM Brands for nearly 50 years. I am delighted that Post and MOM Brands will finally be together. It is one of the best strategic and financial fits of any transaction in which I have been involved."
The transaction is expected to be completed by the third calendar quarter of 2015, Post's fiscal fourth quarter, subject to customary closing conditions including the expiration of waiting periods under U.S. antitrust laws. The transaction has been approved by MOM Brands' shareholders.
MOM Brands will be merged with Post Foods – currently part of Post's Consumer Brands Group.
Chris Neugent, current Chairman and CEO of MOM Brands, will lead the MOM Brands business as President reporting to Mr. Koulouris. Post and MOM Brands will establish a transition team comprised of members of both companies to prepare for and to oversee the integration of the businesses.
Jim Holbrook, current President and CEO of Post's Consumer Brands Group, will continue in that role managing the Premier Nutrition, Dymatize and PowerBar businesses. Tony Shurman, current General Manager of Post Foods, will continue in that role, reporting to Mr. Koulouris.
"I am pleased to welcome Rich, Chris and the entire MOM Brands team to Post," added Rob Vitale.
Upcoming webinars

More per Bite: Turn wellness into market success
Valio
Upcoming events









