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This Is How Much All That Muscle Milk Is Worth

Hormel Acquires Muscle Milk
A carton of Diet Muscle Milk at the Diet Muscle Milk Fuels NY Fashion Week at Lincoln Center on September 12, 2010 in New York City. Brian Ach—Getty Images

$450 million deal for CytoSport meant to broaden the company’s reach to younger consumers

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This post is in partnership with Fortune, which offers the latest business and finance news. Read the article below originally published at Fortune.com.

Hormel Foods has agreed to pay about $450 million to acquire sports-nutrition maker CytoSport, a deal meant to broaden the company’s reach to younger consumers.

The deal to acquire CytoSport, which makes Muscle Milk products, is expected to close within 30 days. CytoSport’s 2014 annual sales are expected to total about $370 million. Hormel HRL 0.61% expects the deal will add about five cents a share to earnings in fiscal 2015, with a neutral impact on fiscal 2014 results.

CytoSport first formed in 1998 by Greg and Michael Pickett, a father and son team that aimed to compete in the sports nutrition category. The company’s first protein products hit the market in 1999, though the Muscle Milk powder — which is the company’s most popular product — was released in 2000. CytoSport has also expanded abroad in recent years, in Canada and the United Kingdom.

For the rest of the story, go to Fortune.com.

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