Weetabix sold for £1.4bn

 

Northamptonshire-based UK cereal firm which has a royal warrant, Weetabix, made in UK since 1932- was put up for sale in January by China’s Bright food, which bought a 60% stake in 2012, is to be bought by US firm Post Holdings for $1.8bn ( £1.4bn) according to its owner. Bright’s acquisition was the largest by a Chinese firm at that time, but it is believed to have struggled to build significant market share in China, as they prefer a hot, rice-based breakfast food to cold cereal.

Although Sales of Weetabix doubled in China in 2016, the UK still accounts for the majority of its sales.

Weetabix was founded in 1932 as the British and African Cereal Co and was family owned until 2003.

Weetabix was bought by private equity firm Lion Capital with its main factory in Kettering producing 60m, Weetabix each week and three billion Weetabix biscuits every year using 1500 tonnes of wheat are used, and exported to 80 countries with factories in Europe, East Africa and North America.

Weetabix was bought by private equity firm Lion Capital with its main factory in Kettering producing three billion Weetabix biscuits every year, and exported to 80 countries with factories in Europe, East Africa and North America.

Under the new ownership Sally Abbott, Currently director of marketing at Weetabix will become managing director of Weetabix UK and Ireland. The current CEO Giles Turrell will become the firm’s Chairman.

Post Holdings is the third-largest cereal firm in the US and owns brands including Great Grains, Golden Crisp and Cocoa Pebbles.

The dollar’s strength has helped the successful bidder, US consumer group Post Holdings.