Particle.news
Download on the App Store
11 ARTICLES
·
3w ago

Ferrero Poised to Acquire WK Kellogg for $3 Billion as Shares Jump 50%

Analysts say closing the deal by week’s end would represent Ferrero’s largest U.S. purchase yet.

FILE - This is a shelf of Kellogg's Frosted Flakes cereal at a market in Homestead, Pa., on Monday, Feb. 24, 2025. (AP Photo/Gene J. Puskar, File)
Image
Kellogg's cereals on display at a Key Foods grocery store, Queens, New York, in August 2024.
Image

Overview

  • Ferrero is reportedly finalizing plans to buy WK Kellogg for roughly $3 billion, with sources saying the transaction could close as early as this week.
  • WK Kellogg’s stock surged about 50 percent Wednesday after reports first emerged that Ferrero was nearing a takeover agreement.
  • The cereal maker split from Kellogg in October 2023 and now holds a market value of around $1.5 billion with brands like Froot Loops and Frosted Flakes.
  • This acquisition would build on Ferrero’s U.S. expansion following its 2022 purchases of Wells Enterprises and Nestlé’s American chocolate division.
  • Industry observers see the potential deal as evidence of accelerating consolidation in the U.S. packaged food market.