General Mills takes control of Yoplait

Article Excerpt

GENERAL MILLS INC. $39 (New York symbol GIS, Conservative Growth Portfolio, Consumer sector; Shares outstanding: 638.4 million; Market cap: $24.9 billion; Price-to-sales ratio: 1.7; Dividend yield: 2.9%; TSINetwork Rating: Above Average; www.generalmills.com) is buying 51% of the private company that makes Yoplait yogurt, as well as 50% of the company that holds the licensing rights to the brand. Controlling Yoplait will make it easier for General Mills to expand in fast-growing markets like China. The company will pay $1.2 billion when the deal closes later this year. That’s equal to 81% of the $1.5 billion, or $2.22 a share, that General Mills earned in the nine months ended February 27, 2011. General Mills is a buy. buy…