Post Holdings announces the sale of the pasta business of 8th Avenue Food & Provisions, Inc. to Richardson (US) Holdings Limited for $375 million in cash.
Post will retain 8th Avenue's nut butters, fruit and nut products, and granola businesses, expecting them to contribute $45-50 million in Adjusted EBITDA in fiscal year 2026.
New share repurchase authorization of $500 million approved by Post's Board of Directors, with $304.8 million already repurchased under the previous authorization.
Sale of Pasta Business
Post Holdings sells the pasta business of 8th Avenue for $375 million in cash and assumes $80 million in financial liabilities.
Retained Businesses
Post will keep 8th Avenue's nut butters, fruit and nut products, and granola businesses, expecting significant contributions to Adjusted EBITDA.
Share Repurchase Authorization
Post approved a new $500 million share repurchase authorization, with $304.8 million already repurchased under the previous authorization.
- Post's focus on retaining high-performing businesses within its portfolio showcases strategic decisions for future growth and profitability.
- The announcement of the share repurchase authorization signals a confidence in the company's financial position and a commitment to returning value to shareholders.
Post Holdings' strategic sale of the pasta business and the approval of a new share repurchase authorization exhibit a strong strategic direction towards maximizing shareholder value and focusing on high-performing business segments.