Japanese flour firm acquires US miller

Nisshin Flour Milling Inc., a subsidiary of Tokyo-based Nisshin Seifun Group Inc., has reached an agreement to acquire Miller Milling Co.

Miller Milling is the 12th largest flour milling company in the United States, according to the Grain & Milling Annual 2012, published by Sosland Publishing Co. The company also is the newest company wholly dedicated to flour milling among the largest 24 companies in the industry.

Miller Milling operates two U.S. flour mills and has daily milling capacity of 27,500 cwts.

While the total enterprise value was not disclosed, Nisshin said, in a Tokyo Stock Exchange filing, it was paying $122 million for the outstanding shares of Miller Milling, , reported bakingbusiness.com.

Nisshin did not disclose other details of the purchase price, including assumed long-term debt.

Nisshin said a new subsidiary will be incorporated in the United States to acquire the ownership of Miller with Nisshin Flour Milling owning 80% of the new subsidiary and Nisshin Seifun Group owning the remaining 20%. The transaction is expected to close in March 2012.