Kellogg is reportedly set to call on South Africa's competition watchdog to block a proposed deal between local companies Pioneer Foods and Futurelife.
In April, cereal-to-spreads group Pioneer announced plans to buy 50% of functional foods company Futurelife, which sells products including breakfast cereal.
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Reports in South Africa said Kellogg had sought to have the deal stopped. A hearing on the transaction will be held at South Africa's Competition Tribunal today (1 September) and tomorrow.
When asked to confirm if Kellogg was looking to have the deal overturned and why it was opposing the transaction, the company's South African arm provided a statement. It read: "Kellogg Company of South Africa, amongst other participants in the industry were invited to contribute to the Commission’s standard investigations into the possible competitive effects of the transaction. Kellogg has provided the Commission with what it believes to be a fair representation of dynamics within the cereal market and continue to support the Commission and the Tribunal in their deliberations on the proposed transaction."
