Kellogg plans to buy cereal bars company for $ $600 mi

New York, 6/10-the American Kellogg plans to buy a company in the niche of RXBAR protein bars for $ $600 million. With this, the company joins other major food manufacturers in the world to explore new brands to compensate for the drop in sales of processed candy products.
Kellogg's main products, like Cornflakes, faced declining sales in recent years. The Executive Director of the company, Steven Cahillane, who took over this week in place of John Bryant, is in charge of positioning the company in line with the change of many consumers who are opting for natural foods and fresh.
The co-founder and CEO of RXBAR, Peter Rahal, said the company will continue to function as a separate unit of Chicago, but will benefit distribution capabilities, research and development at Kellogg. For him, the Kellogg can help your brand to grow beyond the protein bars and sell their products in more schools, hospitals and hotels. However, "will not be involved, our values," emphasized Rahal.
This is because, in General, to buy smaller brands, large corporations end up depriving part of the identity of the acquired company and that made her attractive to consumers. The Kellogg had this experience by purchasing the Kashi, in 2000, where changes in marketing strategy and innovation make nutritious cereal maker losing ground to competitors.