Moody's and Standard & Poor's are reviewing their ratings for ConAgra Foods and Ralcorp, following ConAgra's announcement that it plans to buy private-label food producer Ralcorp for $5 billion.
ConAgra Foods, whose brands include Banquet and Chef Boyardee, will pay $90 per share to Ralcorp Holdings stockholders. The companies value the transaction at about $6.8 billion, when debt is included. The acquisition is expected to close by the end of March, provided it gets approval from Ralcorp shareholders.
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