CHATTANOOGA, Tenn. and MISSION WOODS, Kan.—Milner Milling and Pendleton Flour Mills are acquiring Cereal Food Processors, which will create the third-largest flour milling company in the United States. Terms of the deal were not disclosed and the name of the newly created company will be announced at a later date.

Combining two of the nation’s top independent flour milling companies, the new company will serve customers in the baking and food industries across the country. The formation of the newly combined companies is expected to be completed during Spring 2014, following regulatory clearances.

Combined, Milner Milling and Pendleton Flour Mills the seventh-largest flour miller in the United States and supplies bulk and bag flour to a diverse range of food manufacturers and foodservice customers. Cereal Food Processors is America's largest independent flour milling company and the fourth-largest wheat miller in the United States.