Tue, Jun. 21, 5:48 PM
- Post Holdings (NYSE:POST) recently held talks to merge with ConAgra's (NYSE:CAG) Lamb Weston frozen potato business in a deal that would have valued the unit at ~$6B, WSJ reports.
- The deal would have been structured as a Reverse Morris Trust, according to the report; Post currently has a ~$4.9B market value.
- The talks stalled but could come back to life, the report says, adding that CAG now is focused on the previously announced spinoff of Lamb Weston; if the talks were to revive and result in a deal, it would be the largest in Post’s history.
Mon, May 23, 4:25 PM
Nov. 18, 2015, 6:39 AM
- ConAgra Brands will be a diverse portfolio of leading brands. 2015 revenue: $9B.
- Lamb Weston will be a leading foodservice supplier of frozen potatoes. 2015 revenue: $2.9B. 2015 operating profit: $570M.
- CAG plans tax-free distribution of Lamb Weston publicly-traded stock.
- Expected completion: fall 2016.
- Mgmt. color: "The decision to separate into two pure-play companies reflects our ongoing commitment to implementing bold changes in order to deliver sustainable growth and enhanced shareholder value. We carefully considered a variety of strategic alternatives, and believe that the separation of our Lamb Weston specialty potato business from our consumer brands business is the best way to drive shareholder value. The separation will enable each company to sharpen its strategic focus and provide flexibility to capitalize on the unique growth opportunities in its respective market.
- "Shareholders will gain direct exposure to more focused consumer and commercial foods businesses, each with distinct customer bases and investment profiles. We are confident that this separation will best position each company to compete and win while creating compelling long-term value for shareholders and delivering benefits to employees, customers and other key stakeholders."
- Conference call: 8:30 this morning.
- Related: Bullish Thesis Inevitable With ConAgra Foods Growth Potential And Expected EPS Growth (Oct. 1)
Nov. 2, 2015, 6:57 AM
Oct. 22, 2015, 7:45 PM
- Reuters reports TreeHouse (NYSE:THS) is in late-stage talks to buy private-label foodmaker Ralcorp from ConAgra (NYSE:CAG).
- Neither company has moved yet after hours. Ralcorp, which makes cereals, cookies, crackers, pasta, and other food products, was acquired by ConAgra for $6.8B in 2013 after factoring debt.
- The NY Post reported of talks between TreeHouse and ConAgra in August.
Aug. 22, 2015, 9:14 AM
- TreeHouse Foods (NYSE:THS) is in advanced talks to buy the private-label food business of ConAgra (NYSE:CAG), sources tell New York Post.
- A deal could be struck for the Ralcorp business in the neighborhood of $3B. ConAgra tipped earlier this year it planned to divest Ralcorp.
- Cerberus Capital Management and Post Holdings (NYSE:POST) are believed to still be in the hunt as well.
- TreeHouse's CEO and CFO met with groups of investors this week to reiterate the food company's thirst for M&A.
Mar. 24, 2015, 9:34 PM
- Kraft (NASDAQ:KRFT) finished AH trading at $71.44 following a WSJ report stating the company is in talks to sell itself to P-E firm 3G Capital. Mondelez (NASDAQ:MDLZ) rose 3.3% to $36.18, and ConAgra (NYSE:CAG) rose 1.9% to $35.27.
- The WSJ has added more details. Sources state a deal could be announced soon, and that 3G would use previously-acquired Heinz to make the purchase. It now calls buyout talks "advanced," and highlights 3G's track record of aggressively cutting costs at consumer companies it has acquired.
- The paper speculates Kraft "could be valued at well over $40 billion," given typical M&A premiums. The food/beverage giant closed AH with a $42.6B market cap.
Jul. 14, 2014, 7:46 AM
- ConAgra Foods (NYSE:CAG) announces it acquired TaiMei Potato Industry Limited for $93M in a move that will expand its potato production in China.
- The company says the deal won't impact its debt reduction plans for FY15.
May 27, 2014, 7:28 AM
- A $6.4B offer by Pilgrim Pride's (PPC) to buy Hillshire Brands (HSH) could rattle the food sector.
- For starters, the deal could spoil Hillshire's offer on the table to buy Pinnacle Foods (PF).
- The quick analyst take on a PPC-HSH combination is favorable with the companies focused in different areas (chicken vs. packaged meat) which could lead to easy access to new distribution channels.
- Premarket: HSH +22.9% to $45.49, PF -5.3% to $31.50.
- Also on merger watch in the food sector: THS, SJM, GIS, KRFT, CPB, ADM, BGS, RAH, HAIN, K CAG
May 12, 2014, 7:13 AM
- A merger between Hillshire Brands and Pinnacle Foods could kickstart the consolidation frenzy in the food industry analysts have been forecasting.
- The sector has been tapped to see a high rate of mergers and buyouts due to the significant synergies that could be unleashed through combinations.
- On watch: THS, SJM, GIS, KRFT, CPB, ADM, BGS, RAH, HAIN, K, CAG
Feb. 14, 2013, 8:04 AM
Feb. 12, 2013, 3:28 AM
With NYSE Euronext getting hitched to ICE, Nasdaq (NDAQ) has been exploring its own options. Not only has the exchange held unsuccessful talks with private-equity firm Carlyle (CAG) about a buyout, it has held discussions with two other P-E companies as well, and with CME (CME) about partnerships around technology and indexes, but not more than that.| Feb. 12, 2013, 3:28 AM | 1 Comment
Nov. 27, 2012, 7:14 AM
More on the ConAgra Foods (CAG) - Ralcorp Holdings (RAH) deal: The acquisition is expected to accretive for ConAgra in the first year by providing significant cost synergies, particularly in the areas of supply chain and procurement efficiencies. Financing will be derived from existing cash and credit facilities, as well as new borrowings as needed. (PR)| Nov. 27, 2012, 7:14 AM
Nov. 27, 2012, 7:07 AM
Jun. 18, 2012, 9:08 AM
Ralcorp (RAH) announces the acquisition of frozen meal maker Gelit for an undisclosed amount. The company anticipates that the deal will add $0.05 to GAAP accretion and $0.07 of cash accretion to EPS over the course of the first year following the closing of the transaction.| Jun. 18, 2012, 9:08 AM
May 22, 2012, 3:13 PM
ConAgra Foods (CAG +0.3%) acquires Kangaroo Brands' pita chip business for an undisclosed sum. The company says the acquisition is a good fit in its strategy for growing its presence in private label foods.| May 22, 2012, 3:13 PM