Dive Brief:
- Kellogg Company has officially closed an acquisition deal for a majority stake in Egyptian packaged biscuits company Bisco Misr.
- The final agreement was for 85.93% of total outstanding Bisco Misr shares at EGP 89.86 - $12.56/share, which equates to $125 million - which was Kellogg's final bid announced earlier this week.
- The majority stake comes after a long bidding war between Kellogg and The Abraaj Group, who eventually bowed out after the bidding deadline was prolonged.
Dive Insight:
Chairman and CEO of Kellogg Company John Bryant said, "Bisco Misr is an excellent strategic fit for Kellogg, and Egypt is a growing market with a strong economy."
According to a news release, "Bisco Misr's manufacturing capabilities, skilled labor and go-to-market infrastructure, coupled with Kellogg's technology, iconic brands, and marketing expertise, will enable both to emerge stronger in Egypt and other North African countries."
It will be intriguing to see how Kellogg will fare now that this is a done deal, considering its struggle to win out at an acquisition race like this.