China’s Bright Food has completed the acquisition of a controlling stake in Weetabix.
First announced in May, the deal gives Bright a 60% stake in Weetabix, which owns the eponymous breakfast cereal as well as Alpen and Ready Brek.
The remaining 40% of Weetabix remains in the hands of management and the private equity group Lion Capital.
Bright said the acquisition would enable it to grow the Chinese breakfast cereal market. The company said it was confident of outperforming the market’s 20% annual growth.
“Bright Food will increase the level of investment in Weetabix brands and product innovation to facilitate its development in the international markets,” said Zongnan Wang, Chairman of Bright Food. “We are confident that with support from Bright Food, Weetabix’s sales in China will outperform the growth of the Chinese cereal market.”
Weetabix CEO Giles Turrell welcomed the deal and the additional investment it will bring. “We are delighted about our partnership with Bright Food. We are confident that with Bright Food’s support we will be able to significantly strengthen our market position and expand our business internationally.”
Lion Capital partner Lyndon Lea said Weetabix had achieved strong top and bottom line performance under Lion’s ownership and that it has tremendous further potential for growth.
No comments yet