ST. LOUIS – Post Holdings Inc. announced Wednesday that it has signed a definitive agreement to acquire select pet food brands from The J.M. Smucker Co. for $1.2 billion.
The transaction includes leading dog and cat food brands such as Rachael Ray Nutrish, Nature’s Recipe, 9Lives, Kibbles ‘n Bits and Gravy Train, which together generated net sales of $1.4 billion in the year ended April 30, 2022. Post also is acquiring manufacturing and distribution facilities in Bloomsburg, Pennsylvania, and manufacturing facilities in Meadville, Pennsylvania, and Lawrence, Kansas.
The acquisition will provide Post with a compelling entry point into the attractive and growing pet food category. Post is acquiring an established, scaled position in the mainstream and entry premium sub-categories. Post management expects there to be additional opportunities for future investments in the pet food category.
“We expect this acquisition to continue our history of creating value with a buy and build approach to categories. These iconic brands are ideally suited to this strategy," said Post President and CEO Rob Vitale. "Most importantly, I am delighted to welcome the over 1,000 talented people who will join us as Post colleagues."
Upon closing of the acquisition, Post expects to create a new pet food platform within Post Consumer Brands. Nicolas Catoggio will continue in his current role as president and CEO of Post Consumer Brands and will expand his responsibilities to include management of both the North American ready-to-eat cereal and peanut butter business and the new pet food business.
The transaction is expected to be completed early in the second calendar quarter of 2023, Post’s third quarter of fiscal year 2023, subject to closing conditions, including the expiration of waiting periods under U.S. antitrust laws.