It was crunch time for the British breakfast table today, after the company behind US breakfast brands Shredded Wheat and Bran Flakes said it had completed its acquisition of Weetabix.
Post Holdings paid $1.7bn (£1.3bn) to buy the brand from Shanghai-based Bright Food and private equity firm Baring Private Equity Asia.
In a statement today the Missouri-based company, which beat off competition from the likes of Nestle, PepsiCo and General Mills to make the acquisition, said the purchase was funded with cash and partial proceeds from a previously-announced incremental term loan facility, $1bn of which was funded on 29 June.
When the deal was announced in April, Post Holdings said it expected to expand the brand in North America, as well as pursuing "cost synergies" of £20m per year. However, it was understood this will not entail job cuts in the UK.
At the time Rob Vitale, Post's president and chief executive, said: “We have long admired Weetabix as a leader in cereal and believe it will be a fantastic strategic fit within Post.”
He added: “Combining together two category leaders continues our strategy of strengthening our portfolio in stable categories and diversifying into new markets, bringing much-loved brands to significantly more customers globally. We are excited about the growth opportunities that this acquisition brings.”