US-based Kellogg Company, a leading cereal and snack food manufacturer, said it has acquired Egyptian cereal company Mass Food Group for $50 million.

As per the deal, Kellogg will finance the transaction with international cash on hand, said a statement from the company.

Mass Food Group, manufacturer of local brands as Temmy's cereals and NutriFit cereal bars, was founded in 1996 and now boasts annual sales of $18 million and 600-strong staff.

The company exports to over 30 markets, including in Africa, Europe and East Asia, it said.

Chris Hood, president, Kellogg Europe, said: “As the number one cereal company in Egypt, Mass Food Group is an excellent strategic fit for us.”

“The combination of Mass Food’s manufacturing capabilities, established local brands, and sales and distribution infrastructure, coupled with our product innovation, international sales knowledge, iconic brands and marketing expertise, will help unlock the growth potential of the cereal category in the key markets of Egypt and North Africa,” he stated.

John Bryant, chairman and CEO, said Kellogg Company was building a strong foundation for emerging market growth.

Tamer El Bahay, vice president, Mass Food Group, said: “With Kellogg's know-how and expertise, we can emerge stronger together with a combined portfolio of brands to excite our consumers.”

“We will continue to grow and develop under its leadership,” he added. -  TradeArabia News Service