Feb 10 ConAgra Foods Inc is delaying a
merger of its flour-milling business with Cargill Inc
and CHS Inc due to the ongoing regulatory approval
process, the company said in a filing with the Securities and
Exchange Commission (SEC) on Monday.
The merger, dubbed Ardent Mills, would join ConAgra with
Horizon Milling LLC - a joint operation between Cargill and CHS
that already is the largest flour miller in the United States.
The deal was first made public in March 2013 and was initially
expected to be finalized late last year.
"(ConAgra) is revising the timeline to complete the Ardent
Mills transaction and now expects the transaction to close in
the second quarter of calendar 2014," the company said in the
The U.S. Justice Department's antitrust division was
investigating the merger that would result in Ardent Mills
controlling about a third of U.S. flour mill capacity.
ConAgra in the filing said the companies were prepared to
divest four flour milling facilities prior to or simultaneous
with the completion of the merger. Those flour mills are
Horizon's facility in Los Angeles; and ConAgra's facilities in
Oakland, California; Saginaw, Texas; and New Prague, Minnesota.
Spokesmen for Cargill and CHS did not immediately respond to
requests for comment.