Nutella Maker Ferrero To Acquire WK Kellogg For $3 Billion

Ferrero, the Italian confectionery giant known for Nutella and Kinder, announced plans to acquire U.S. cereal maker WK Kellogg Co. for $3.1 billion in a bid to expand its footprint in North America, Associated Press (AP) reporters Dee-Ann Durbin and Michelle Chapman reported.

The deal includes six manufacturing plants and WK Kellogg’s marketing and distribution operations for breakfast cereals. I Photo: Nutella Facebook

Ferrero will pay $23 per share for WK Kellogg, which saw its stock jump 31% in mid-afternoon trading following the announcement.

The deal includes six manufacturing plants and WK Kellogg’s marketing and distribution operations for breakfast cereals across the U.S., Canada, and the Caribbean.

Founded in 1906 in Battle Creek, Michigan, Kellogg pioneered flaked cereals and still produces classics like Corn Flakes, Froot Loops, Frosted Flakes, Special K, and Rice Krispies.

The company has four U.S. plants (in Michigan, Pennsylvania, Tennessee, and Nebraska), as well as one plant in Mexico and another in Canada. WK Kellogg currently employs around 3,000 people.

The transaction follows a 2023 corporate split, in which Kellogg's snack brands—such as Cheez-Its and Pringles—became part of a new entity called Kellanova. Last year, M&M's maker Mars Inc. announced it would acquire Kellanova in a nearly $30 billion deal.