
Mars has agreed to buy Kellanova, maker of several popular snack and breakfast brands, in a $36 billion deal that would be one of the snack-food industry’s biggest acquisitions ever.
Kellanova, which was spun off last year from Kellogg’s, owns several well-known brands, including Cheez-It, Pringles, NutriGrain and Eggo. Under the deal, which requires the approval of Kellanova’s shareholders, Mars would pay $83.50 per share, or almost $29 billion. That’s roughly a 33 percent premium to Kellanova’s stock price as of Aug. 2, shortly before news of a possible deal was reported by the Wall Street Journal.
Mars would also take on Kellanova’s outstanding debt, bringing the agreement’s total value to about $35.9 billion.
Adding Kellanova could double the size of Mars’s snack business over the next decade, the companies said. Mars already makes many popular snacks, such as M&Ms, Snickers and other candy bars, Life Savers and various chewing gum brands.
Shares of Kellanova spiked more than 7 percent in premarket trading. McLean, Va.-based Mars is a private company.
(c) Washington Post
Is pringles and cheez-it all the Mars ETs eat?
Not chalav yisroel.