ConAgra Foods Inc said it raised its offer for Ralcorp Holdings Inc by 5 percent to about $4.9 billion in cash, to gain access to more U.S. store brands that have been attracting people looking to cut spending on food. ConAgra offered $86 a share in cash for Ralcorp, up from the $82 a share cash-and-stock offer it made on March 22, ConAgra said in a statement. However, shares of Ralcorp -- primarily a private-label food maker which also owns Post branded cereals -- were trading above the offer price before the bell, usually an indication that investors are expecting a higher bid. ConAgra's proposal comes after Ralcorp said late on Sunday that its board rejected an unsolicited offer it received from a third party in March.
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