General Mills reaches a definitive agreement to sell its PopSecret microwave popcorn business to Diamond Foods Inc. for approximately $190million in cash.
General Mills expects to receive cash proceeds ofapproximately $160 million after transaction-related costs. The company expectsto record a one-time gain on the sale in its fiscal 2009 results. Thetransaction, subject to regulatory approval, is expected to be completed thisfall.
Diamond Foods is a food company specializing in processing,marketing and distributing culinary nuts and snack products under the Diamondand Emerald brands. Pop Secret, introduced in 1985, is the No. 2 player in the$900 million U.S.microwave popcorn category.
