Ralcorp Holdings rejects ConAgra takeover again at final deadline

Ralcorp Holdings, which operates a cereal mill in Cedar Rapids, again rejected a takeover bid from ConAgra Foods on Monday, Sept. 20.

The Ralcorp board said it had determined not to enter negotiations on ConAgra's $94-per-share unsolicited non-binding cash proposal after meeting with its financial and legal advisors.

ConAgra had said that it would walk away from the deal if Ralcorp did not accept it by Monday.

Ralcorp makes private label and Post brand cereals. ConAgra's stable of food products includes Hunt's ketchup, Pam coooking spray and Chef Boyardee pasta

Before the latest $94-per-acre offer, ConAgra had offered $82 per share for Ralcorp in March and sweetened its offer to $86 per share in May..

Ralcorp Chairman William Stiritz said the company's Post Foods unit is on track to be spun off to Ralcorp shareholders, unlocking significant value for their benefit.

 At that time, Stiritz said he will assume the chairmanship of the new Post Foods. Stiritz said he will spend all of his time for as long as it takes to ensure that Post Foods meets its potential with a solid record of success.

Ralcorp's Cedar Rapids plant produces instant, old fashion and quick oatmeal as well as grits, farina, bran and Hot Ralston.

Shares of Ralcorp Holdings were off $2.77 or 3.6  percent at 9:30 a.m. to $73.44 on the news.

The plant is less than one mile from the downtown area and the Cedar River. Located in the Midwest , Cedar Rapids enjoys four distinctive seasons.

The plant produces Instant, Old Fashion, and Quick Oatmeal as well as Grits, Farina, Bran and Hot Ralston.