Ralcorp (RAH) Reiterates Rejection of $94/Share ConAgra (CAG) Bid, Believes Post Spinoff is Better Option
Tweet
Share
E-mailGet Alerts RAH Hot Sheet
Join SI Premium – FREE
Ralcorp Holdings, Inc. (NYSE: RAH) today announced that its Board of Directors has met again to consider the unsolicited, non-binding proposal from ConAgra Foods (NYSE: CAG) to acquire Ralcorp for $94.00 per share in cash. After careful consideration, with the assistance of the Company's financial and legal advisors, the Board has unanimously reiterated its rejection of ConAgra's proposal to acquire Ralcorp and determined not to enter into negotiations with respect to that proposal.
The Ralcorp Board believes that the previously announced separation of Post Foods from Ralcorp will unlock significant value for shareholders, and the Company is continuing to execute on the separation plan.
The Board believes that, as independent companies, Ralcorp and Post Foods will be better positioned to focus on strategies specific to each of their particular businesses by operating as pure play independent public companies with distinct financial profiles, capital structures appropriate for their respective businesses and their own equity currencies. Ralcorp expects that the separation will allow it to enhance its position as a growth through acquisition private brand leader with a diverse product, customer and input array, while operating low-cost, efficient and safe manufacturing facilities. Ralcorp also expects that, following the separation, Post Foods will continue to grow its most important brands while maintaining strong EBITDA margins and free cash flow.
The Ralcorp Board believes that the previously announced separation of Post Foods from Ralcorp will unlock significant value for shareholders, and the Company is continuing to execute on the separation plan.
The Board believes that, as independent companies, Ralcorp and Post Foods will be better positioned to focus on strategies specific to each of their particular businesses by operating as pure play independent public companies with distinct financial profiles, capital structures appropriate for their respective businesses and their own equity currencies. Ralcorp expects that the separation will allow it to enhance its position as a growth through acquisition private brand leader with a diverse product, customer and input array, while operating low-cost, efficient and safe manufacturing facilities. Ralcorp also expects that, following the separation, Post Foods will continue to grow its most important brands while maintaining strong EBITDA margins and free cash flow.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Real and RE/MAX Holdings receive court approval for merger
- Hinge Health signs $86M office lease in San Francisco
- Nuvectis Pharma (NVCT) files $200M mixed shelf
Create E-mail Alert Related Categories
Corporate News, Mergers and AcquisitionsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
