Consumer packaged goods company Post Holdings, Inc. announced this week it will acquire the privately-owned MOM Brands Company for $1.15 billion.
MOM Brands is a leader in the ready-to-eat ("RTE") cereal value segment whose products include branded RTE cereal, private label, and hot wheat and oatmeal.
“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.”
The transaction is expected to be completed by the third calendar quarter of 2015.
MOM Brands will be merged with Post Foods – currently part of Post's Consumer Brands Group. The combined cereal business will be led by Richard Koulouris, who will join the company on February 9.