General Mills [NYSE: GIS] to Divest European Dough Business

General Mills, Inc. [NYSE: GIS] disclosed that it has decided to divest its European dough businesses. The company will sell the business to Cérélia. Cérélia has earned a reputation as a global leader in ready-to-bake dough solutions. The suggested deal would include General Mills branded and private label dough businesses in Germany, the UK, and Ireland, including the Knack & Back and Jus-Rol brands.

These divestitures are another step in the General Mills Accelerate strategy. The Accelerate strategy’s main focus is on where to play across geographies as well as platforms and brands to bring long-term, superior shareholder returns. Shares of General Mills, Inc. [NYSE: GIS] surged 0.89% at the time of writing on Wednesday.

General Mills has recorded a trading volume of 2.03 million as compared to the average volume of 3.45 million. The share of the firm surged 17.57% during the 52-week low and plunged -1.87 during the 52-week high. The firm has a total market capitalization of $38.96 billion at the time of writing. Additionally, each of the transactions is likely to end by the end of fiscal 2022.

On the other hand, it has been disclosed that the German transaction is dependent on appropriate labor consultations, regulatory agreements, and other customary closing conditions. Moreover, General Mills is striving to remodel the company’s portfolio for sustainable, lucrative growth. The firm is planning to do this by enhancing its focus on advantaged global platforms, which cover Mexican food, super-premium ice cream, and snack bars.