Ralcorp rejects third ConAgra proposal

ConAgra has hinted it could step up its pursuit of Ralcorp after the US food group suffered a third rejection by its quarry of its proposal – improved to $5.2bn – to buy the company.

Ralcorp said on Friday it had a rejected the latest $94 a share cash offer from ConAgra, having determined that the proposed separation of its Post cereals unit from its core private-label business would unlock “additional significant value for our shareholders”.

ConAgra countered on Sunday that it was ”extremely disappointed” at Ralcorp’s rapid dismissal of its proposal, which it said offered investors greater certainty than the planned separation.

Related News releases:

Conagra Foods News release: ConAgra Foods Emphasizes Strong Value of $94 Per Share All-Cash Proposal to Acquire Ralcorp Holdings, Inc.

RalCorp Press release: Ralcorp Board of Directors Unanimously Rejects Revised, Unsolicited Proposal From ConAgra