The leading Kellogg Company has acquired Russia’s United Bakers Group.

The United Bakers Group, one of Russia’s largest cracker, biscuit and breakfast cereal producers, has been acquired by Kellogg – the world’s leading producer of biscuits and cereals – in an agreement that includes Kellogg gaining the Russian company’s six manufacturing facilities and 4,000 employees.

The transaction – of which the terms are undisclosed – was stated to be a “strong strategic fit” between the two companies.

Kellogg’s President and Chief Executive Officer, David Mackay, commented: “Consistent with our strategy, we continue to pursue the right kind of opportunities to grow our business. The acquisition of United Bakers in Russia is an exciting strategic development for Kellogg. United Bakers is a leading producer of high quality cereals and biscuits, and its existing operations will help us establish a considerable presence in this large and fast-growing market.”

United Bakers, which produces leading Russian brands such as Yantar and Lyubyatovo, will remain at its headquarters in Voronezh and report to Kellogg’s European business unit.

The acquisition will be a strong addition to the Kellogg Company portfolio, which includes brands such as Pop-Tarts and Special K, and will further its sales – a reported US$11 billion (approximately £5.6 billion) in 2006.