
The Federal Trade Commission is challenging a cereal-industry deal in which Post Holdings Inc. is seeking to buy the private-label cereal business of TreeHouse Foods Inc.
The FTC announced Thursday that it was filing an administrative lawsuit to challenge the acquisition on antitrust grounds. The commission said the two companies were important head-to-head competitors in making cereals that an array of stores sell as generic, lower-cost alternatives to national brands.
If the two businesses were allowed to combine, consumers would likely see lower-quality products at higher prices because of the lack of competition, the FTC alleged.
Full Content: Wall Street Journal
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