Nestle acquires iconic Aussie cereal brands

Six months after floating Goodman Fielder, Burns Philp sells its cereals and snacks business to Nestle for A$890 million.

Iconic brands like Uncle TobyƆs and Vita Brits are now in the hands of Nestle and its US partner General Mills following a lengthy acquisition process that saw the buyer pay a multiple of 11.3 times earnings.

The assets have been bought from Burns Philp, an Australian company owned 54% by New Zealand entrepreneur Graeme Hart, as Hart offloads assets to pay down debt and boost his cash coffers.The last big sale from Burns Philp was the A$2.12 billion listing...

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