Private label foods giantRalcorp Holdings, Inc., St. Louis, said its Board of Directors met and considered an unsolicited, non-binding proposal fromConAgra Foodsto acquire Ralcorp for $94.00 per share in cash.
Officials said that after careful consideration -- with the assistance of financial and legal advisors -- the Board unanimously reiterated its rejection of ConAgra's proposal to acquire Ralcorp. Officials added that they are "determined not to enter into negotiations with respect to that proposal."
"Ralcorp has an established and strong track record of creating superior value for shareholders," said William P. Stiritz, Ralcorp chairman. "Our private label business has been enormously successful and is well positioned for the future. The Ralcorp team, under Kevin Hunt's leadership following Dave Skarie's retirement at year end, will continue to aggressively pursue and execute the same strategies that have created an outstanding record of value creation for Ralcorp shareholders.
"Post Foods is on track to be spun off to Ralcorp shareholders, at which time I will become chairman of the board of the new Post Foods," Stiritz added. " Post Foods' main asset is its great brand name – it has untapped potential. Looking forward, the management of this valuable asset will not be a combination of the past, but rather it will be creative, imaginative and adaptive in pursuit of shareholder value creation – nothing is off the table. I look forward to spending 100 percent of my time for as long as it takes to ensure that Post Foods meets its potential with a solid record of success."
Ralcorp said it s officials believe 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.