The deal - set to close in the second quarter - is the latest in a string of acquisitions Post has made since going solo, following deals to buy private label pasta maker Dakota Growers Pasta Co, Joint Juice and Premier Protein maker PNC, cereal and granola brands from Hearthside Food Solutions; and natural and organic cereal maker Attune Foods.
Michael Foods CEO Jim Dwyer, who is set to stay on following the deal, said: "We believe our business will benefit from Post's portfolio management approach of effectively and efficiently investing in profitable growth and margin expansion."
According to Post, Michael Foods will continue to operate independently under the leadership of Dwyer and the company's current management team.
"Post remains focused on diversifying its business to capitalize on shifts in consumer behavior towards increased consumption of protein and away-from-home breakfast occasions," the company said this morning.
Post Holdings (Post Foods) - which has its corporate HQ in St. Louis, MO - is best-known cereal brands including Great Grains, Pebbles, Honey Bunches of Oats and Grape-Nuts.
Michael Foods’ brand stable includes Papetti's, All Whites, Better 'n Eggs, Easy Eggs, Simply Potatoes and Crystal Farms. Since 2008, adjusted EBITDA has grown at a compound annual growth rate of 5.3%.
The firm - based in Minnetonka, Minnesota - notched up sales of $1.95bn last year.