Post Holdings Sells 8th Avenue Pasta Business To Richardson International

Credit: PJ McDonnell/Shutterstock.com

Post Holdings is to waste nan pasta business of 8th Avenue Food & Provisions to Richardson International.  

Canada-based agri-food group Richardson International will salary $375m successful cash and return connected astir $80m successful leaseback financial obligations.  

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The deal, announced connected Friday (29 August), came 2 months aft Post Holdings acquired nan shares successful 8th Avenue Food & Provisions that it did not already ain for $880m.

US shaper 8th Avenue Food & Provisions makes branded and private-label pasta, arsenic good arsenic private-label seed butters and granola.

The transaction covers 3 accumulation sites located successful Carrington, North Dakota; New Hope, Minnesota; and Winchester, Virginia. Richardson International will besides return connected nan Ronzoni pasta brand.

Approximately 500 labor from 8th Avenue Food & Provisions will besides subordinate Richardson International. 

Post Holdings will support 8th Avenue Food & Provisions’ seed butters, consequence and seed products and granola businesses.

In a statement, Richardson International said acquiring nan pasta business allows nan institution to “strengthen its expertise to link its starring position successful North American durum origination and milling to nan accumulation of vanished pasta products”. 

Darwin Sobkow, nan president and CEO of Richardson International, that durum wheat’s handling and milling is simply a “core spot of our business, and nan opportunity to widen our scope into pasta builds straight connected that foundation”. 

Post Holdings projects nan retained businesses will make an adjusted EBITDA publication of astir $45-50m successful nan fiscal twelvemonth 2026, excluding nan benefits of costs synergies.  

The institution expects these synergies to scope an yearly tally complaint of astir $15m by nan extremity of fiscal twelvemonth 2026. 

Post Holdings adjusted its fiscal twelvemonth 2025 guidance for adjusted EBITDA upwards to a scope of $1.5bn–$1.52bn from a erstwhile scope of $1.46bn–$1.5bn, factoring successful a partial-year publication from 8th Avenue. 

For nan 3rd fiscal 4th ending 30 June, Post Holdings reported nett income of $1.98bn, reflecting a 1.9% increase.  

Operating profit roseate by 15.5% to $234.6m compared to nan aforesaid play successful nan erstwhile year. Net net were reported astatine $108.8m, marking a 9% increase.  

Diluted net per stock accrued to $1.79, up from $1.53 successful nan erstwhile year.