Cereal giant Kellogg has acquired the assets of IndyBake Products and Brownie Products, US manufacturers of cracker, cookie and frozen dough products.

Indiana-based IndyBake Products and Illinois-based Brownie Products will be integrated into Kellogg's US snacks manufacturing network.

Around 150 IndyBake Products and Brownie Products employees joined Kellogg upon the closing of the deal.

The combined revenues for IndyBake Products and Brownie Products were approximately US$50m in 2007.

"Expanding our snacks business is a key element of Kellogg's business strategy and commitment to driving sustainable growth," said Kellogg president and CEO David Mackay. "This acquisition will help us expand our capacity to manufacture existing and proprietary snacks products as well as enable new product innovations."

Terms of the transaction were not disclosed.

IndyBake Products and Brownie Products have been partners to Kellogg for a number of years as contract manufacturers of snacks.