SAN DIEGO -- NuWorld Marketing Ltd., a new holding company here, is to acquire American Redemption Systems, the coupon management and promotion fulfillment division of Ralcorp Holdings Inc., St. Louis.
The two companies signed a definitive agreement Jan. 31, and said they expected to complete the transaction by Feb. 14. Terms were not disclosed.
ARS, Mascoutah, Ill., is a division of Ralston Foods, Ralcorp's cereal manufacturing business. ARS would continue to offer its coupon and fulfillment services from that location, said Carol Haas, president and chief executive officer.
NuWorld Marketing owns Acu-Trac Services, a company that offers coupon processing and freestanding insert tracking services, and Coupon Select, which is developing a system for electronic coupon distribution to the home.
NuWorld was formed last November by John Taylor, president of Acu-Trac, and David Boerlin, director of interactive media for Coupon Select. Acu-Trac had previously signed a letter of intent with Ralcorp for the ARS acquisition.
Taylor said that Acu-Trac concentrates on front-end processing in Mexico, and also offers a service called Exact-Trac, which tracks FSI redemption by newspaper.
Coupon Select was formed about one year ago to develop a patented device that can distribute coupons through cable and network television, as well as online. Boerlin and Taylor said they expect to begin marketing the units later this year.
Coupon Select and Acu-Trac also have developed an interactive coupon distribution system that is integrated with coupon processing, Boerlin said. Once the acquisition is completed, ARS could handle aspects of the fulfillment end of this activity, he said.
Ralcorp Holdings was spun off as a separate public corporation last year by Ralston Purina. Its remaining assets include Ralston Foods, Beech-Nut Nutrition, Bremner Inc. and the Keystone & Breckenridge Ski resorts.
