US-based consumer packaged goods company Post Holdings has signed a stock purchase agreement to acquire American Blanching.
As part of the deal, Post will pay $128m on a cash-free, debt-free basis, subject to working capital and other adjustments.
Post plans to combine Georgia-based American Blanching with its Golden Boy Foods unit, which comprises peanut and other nut butter business.
Post Holdings chairman and chief executive William Stiritz said: "We are pleased with the progress at Golden Boy and we like the prospects for private label nut butters."
American Blanching is expected to contribute around $135m to net sales and around $14m to $16m of adjusted EBITDA annually.
The deal is slated to be completed in the first quarter of fiscal 2015.
American Blanching is involved in the production of peanut butter for national brands, private label retail and industrial markets.
The company also offers services such as blanching, granulation and roasting services for the commercial peanut industry.
The firm operates a peanut butter manufacturing facility in Fitzgerald.
