General Mills completes acquisition of Annie’s

US-based General Mills has completed the acquisition of Annie’s for $821m.

The company announced that it has completed the acquisition procedure after its tender offer to purchase all issued and outstanding shares of common stock of Annie’s at a price of $46 per share.

The company previously announced its plans for the acquisition of Annie’s on 9 September. With the acquisition, Annie’s will join General Mills’ portfolio of natural and organic products, which include brands like the Cascadian Farm, Muir Glen, Larabar and Food Should Taste Good.

General Mills US retail executive vice-president and chief operating officer Jeff Harmening earlier said: "This acquisition will significantly expand our presence in the US branded organic and natural foods industry, where sales have been growing at a 12% compound rate over the last ten years.

"Annie’s competes in a number of attractive food categories, with particular strength in convenient meals and snacks, two of General Mills’ priority platforms. Consumers know and trust Annie’s purpose-driven culture and authentic brand."

General Mills and Annie’s completed the acquisition after the tender offer expired at the midnight of 20 October by merging a subsidiary of General Mills with and into Annie’s. Annie’s will now function as a wholly-owned subsidiary of General Mills.

Annie’s was founded in 1989 and makes products without using flavours, synthetic colors and preservatives regularly used in many conventional packaged foods. The company produces more than 145 products and has its presence in approximately 35,000 retail locations across the US and Canada.