Mars, the candy giant whose brands include M&M’s and Skittles, will buy Kellanova—makers of snacks like Pringles and Cheez-It—in a deal valued at $35.9 billion, both companies announced Wednesday, a transaction that would reportedly be the largest in the packaged food industry in over a decade.
Mars’ brands, which include M&M’s and Skittles, add on snacks from Kellanova like Eggo, Pringles and ... [+]
Mars will pay $83.50 per share for Kellanova in an all-cash deal, up 12% from Kellanova's share price at Tuesday's close, both companies said in a statement.
Kellanova’s brands, including Eggo, Pop-Tarts and Rice Krispies Treats, are included in the deal.
Kellanova’s board has approved the deal, though it still requires approval from Kellanova’s shareholders and regulators.
The deal is expected to close in the first half of 2025, when products sold by Kellanova—a spin-off from Kellogg’s—will become part of Mars’ snacking brands, the companies said.
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This is the largest acquisition in the packaged food industry since Mars paid $23 billion for Wrigley in 2008, according to Reuters. It’s also the latest deal by Mars in recent years after acquiring KIND Snacks for $5 billion in 2020.
Talks between Mars and Kellanova reportedly advanced in recent weeks, as Mars looked to diversify from chocolate products while cocoa prices soared. Kellogg announced in 2022 that it would break up its business into three companies, though it later split up into just two firms in late 2023: The snack-heavy Kellanova and the cereal-focused WK Kellogg. Mars has added on other snack makers in recent years, including KIND Snacks, Nature’s Bakery and Trü Frü.