General Mills Acquires Whitebridge Pet Brands

(Reuters) – General Mills announced on Thursday that it will acquire Whitebridge Pet Brands' North American premium cat feeding and pet treating business in a deal valued at $1.45 billion, aimed at expanding its portfolio and strengthening its pet food division.

The acquisition is from European private investment firm NXMH, which will continue to manage Whitebridge Pet Brands' European operations.

General Mills (NYSE:GIS) stated that this acquisition will allow it to concentrate on its core brands, like Cocoa Puffs and Cheerios, while also enhancing its pet food segment to promote steady sales growth.

The packaged food industry has seen vigorous deal-making in the past year as companies strive to regain market share lost to private labels amid rising prices, looking to broaden their product offerings with better-performing brands.

Whitebridge, which includes brands like Tiki Pets and Cloud Star, marks General Mills' fifth acquisition in the pet industry, following its $8 billion acquisition of Blue Buffalo in 2018 to bolster its pet division.

In the past twelve months, the North American portion of Whitebridge Pet Brands generated approximately $325 million in U.S. Nielsen-measured retail sales. General Mills' pet segment makes up 12% of its annual sales.

The company intends to finalize the acquisition by the third quarter of 2025.

In September, General Mills reported a smaller-than-expected decline in third-quarter sales, with higher snack and pet food prices mitigating a slowdown in demand.

In comparison, pet food competitor Chewy (NYSE:CHWY) has consistently reported robust sales and growth in recent quarters, fueled by an increase in pet owners seeking branded pet food products.

Additionally, packaged food companies are shedding units that are not exhibiting high growth in order to manage costs, with General Mills selling its North American yogurt business to French dairy firms Groupe Lactalis and Sodiaal in a $2.1 billion deal last September.