Rhodes Food's latest acquisition to complement focus on convenience channel
Rhodes Food Group Holdings (RFG) has advised shareholders that its wholly owned subsidiary Rhodes Food Group will acquire the Foodservice business of General Mills for an undisclosed amount, on November 30.
Under the agreement, dated September 30, the implementation of the acquisition was not subject to any conditions precedent.
The RFG board said the acquisition presented an attractive investment opportunity, aligned with the company’s strategy of expanding its business operations through value-accretive acquisitions, RFG said in a statement on Thursday.
“The board believes that the frozen bakery category complements RFG’s growing pie and pastries business, particularly with its focus on the distribution of these products to the convenience channel, and that good synergies will arise from the acquisition.”
General Mills launched its Foodservice business in 1995 and currently conducted its manufacturing business from a highly automated facility in Johannesburg. Its products, a range of dry and frozen bakery products, were distributed nationally, primarily to the convenience channel.
These products included tubeset muffin batters, croissants, cinnamon scrolls, place-and-bake frozen preformed cookies, frozen pizzas, dry bakery mixes and ready-to-eat muffins.
“Through the offering of innovative products, combined with convenience and ease of preparation, this business has become the preferred supplier and leader in muffins to the South African food service market,” RFG explained, highlighting that the muffin batters and muffins were by far the most significant sales item.
The Foodservice business of General Mills generated revenue in excess of R65-million in its financial year ending May 31.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation