Cereal maker Post Holdings (NYSE:POST) agreed on Monday to buy Nestle’s PowerBar and Musashi brands, continuing to widen its portfolio of nutrition products.
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Terms of the transaction, which is expected to close in the third quarter ending in June, weren’t disclosed. However, the companies expect to provide those details in the coming days.
Post has been making acquisitions to expand its nutritional offerings. In December, the St. Louis-based company reached separate deals to buy peanut-butter maker Golden Boy Foods and Dymatize Enterprises, which makes protein powders and bars, for a combined $700 million. Post also purchased Premier Nutrition in September.
Those acquisitions were added to the company’s active nutrition group that generates projected annual revenue of $550 million.
Post boosted sales through acquisitions but swung to a loss in the fourth quarter, as weaker margins and costs related to a plant closure pressured results.
Meanwhile, Nestle has been shedding low-performing businesses, including weight-loss company Jenny Craig.
Shares jumped 2.5% to $54.88 in pre-market trading.