Post Holdings to take over PowerBar and Musashi brands from Nestlé

Post Holdings, the parent of Post Foods and a manufacturer of ready-to-eat cereals, has entered into an agreement with Nestlé to take over the latter’s PowerBar and Musashi brands and related assets.

The financial terms of the deal have been not disclosed.

The acquisition represents Post’s efforts to expand in the active nutrition category while continuing with its strategy of transforming into a more diversified consumer goods company.

The PowerBar and Musashi brands produce premium bars, powders and gels, and are part of Nestlé’s premium sports nutrition business, which operates in the US, Canada, Western Europe, Australia, New Zealand and Japan.

The transaction is expected to be wrapped up in Post’s fiscal third quarter, subject to certain closing conditions.

Post chairman and CEO William P Stiritz said, "It’s truly exciting to continue the transformation of Post and to increase the role active nutrition will play in that transformation."

The company intends to combine the acquired entity with its existing active nutrition portfolio to form a singular Active Nutrition Group with expected annual revenues of $550m.

Premier Nutrition president and CEO David Ritterbush and Dymatize president and CEO Greg Venner will be co-CEOs of the Active Nutrition Group, reporting to Post president and COO Terence E Block.

Premier Nutrition’s Premier Protein and Joint Juice brands, Dymatize Enterprises’ Dymatize and Supreme brands, and the PowerBar and Musashi brands will allow Post to cater to various segments of the Active Nutrition category.

In addition, the combined portfolio will allow the Active Nutrition Group to foray into all channels of sales and distribution as well as product segments, including bars, shakes and powders, besides expanding its presence worldwide.