Mars to buy Chicago-based Kellanova, maker of Cheez-Its and Pringles, for nearly $30 billion
M&M''s maker Mars is buying Kellanova, the maker of Cheez-Its and Pop-Tarts, for nearly $30 billion, in an effort to broaden its snacking portfolio and expand globally. Kellanova was created last year when the Kellogg Co. split into two companies. Kellanova sells many of the former company''s most profitable brands, including Pringles, Eggo, Town House, MorningStar Farms and Rice Krispies Treats. It had net sales of more than $13 billion last year and has approximately 23,000 employees. Mars Inc. said Wednesday that it will pay $83.50 per share in cash. The company put the total value of the transaction at $35.9 billion, including debt. The deal will give Mars significantly more buying power from suppliers and selling power in negotiations with grocers and other retailers, said Randal Kenworthy, a senior partner specializing in consumer products at the consulting firm West Monroe. Mars and Kellanova combined would control around 8% of the U.S. snack market, he said, compared to a 9% share for PepsiCo, which owns Frito-Lay.
https://chicago.suntimes.com/money/2024/08/14/mars-buy-chicago-kellanova-maker-cheezits-pringles-nearly-30-billion