Dive Brief:
- ConAgra has sold its Medallion Foods unit for $33.5 million to a competitor owned by Toronto-based private equity investor Wind Point Partners.
- Medallion, based in Newport, Ark., makes corn and tortilla chips for private-label companies.
- Medallion’s new owner is Shearer’s Foods, a maker of salty snacks.
Dive Insight:
They must have seen this one coming at Medallion. ConAgra acquired the unit as part of its purchase of Ralcorp a year ago, and in February announced that it expected earnings difficulties through the rest of the calendar year. ConAgra blamed that on challenges in the private-label businesses and difficulties integrating the Ralcorp units with the rest of the corporation.