In addition to a cash tender offer, Post Holdings plans to borrow approximately $2 billion under a new incremental term loan facility under its existing credit facility. The new facility along with cash on hand, will be used, in part, to fund the tender offers as well as the company’s previously announced acquisition of Weetabix.

Post Holdings also increased the size of a Credit Suisse-led term loan backing its purchase of Weetabix to $2.2 billion from $2 billion. The additional funds allowed the company to lower the amount of the balance sheet cash used to back the Weetabix purchase and a tender offer. The loan was rated Baa2/BB-.