Mars acquires Pringles manufacturer for $ 36 billion
14 august 2024 в 21:13
Mars, the company behind brands like M&M's and Snickers, has agreed to acquire the chip manufacturer Pringles Kellanova in a deal worth nearly $ 36 billion, making it the largest acquisition in the packaged goods industry.
The cash offer, announced on Wednesday, is the largest acquisition for the family-owned confectionery giant. Kellanova stated in a regulatory document that its shareholders will receive $ 83.50 per share in cash, representing a 33% premium to the closing price of the shares on August 2, prior to the first Reuters report on the potential acquisition. The deal values Kellanova at $ 35.9 billion, including debt.
Kellanova was created last year when Kellogg’s spun off its North American cereal business, now known as WK Kellogg Co., from its snack business, which was renamed Kellanova.
Kellanova boasts a diverse portfolio of brands, including Pringles, Cheez-It, and Eggo.
«The Kellanova brands significantly expand our snacking platform, allowing us to more effectively meet consumer needs and drive profitable business growth», - said Andrew Clarke, Global President of Mars Snacking.
Mars, a private company, is expanding beyond the confectionery business. In 2020, it acquired Kind North America, the maker of Kind Bars. The company has also heavily invested in its significant pet care division, including the pet food brand Iams, as well as veterinary clinics and hospitals.
«Welcoming the portfolio of growing global brands from Kellanova, we have a significant opportunity to further develop a sustainable snacking business that will meet the future», - said Paul Weirich, CEO of Mars.
«We will honor the legacy and innovation behind the amazing snack and food brands of Kellanova, combining our strengths to provide greater choice and innovation to consumers and customers».
Mars noted that the deal, pending approval from Kellanova shareholders and regulatory authorities, will expand its portfolio of health and wellness-related brands that appeal to young consumers and help meet demand in fast-growing markets such as Africa and Latin America.
«Snacks are a large, attractive, and enduring category that continues to grow in importance for consumers», - said Kellanova.
Steve Cahillane, President and CEO of Kellanova, remarked: «This is truly a historic combination with compelling cultural and strategic alignment».
Kellanova, which operates in 180 markets, generated over $ 13 billion in revenue last year and has approximately 23,000 employees
The cash offer, announced on Wednesday, is the largest acquisition for the family-owned confectionery giant. Kellanova stated in a regulatory document that its shareholders will receive $ 83.50 per share in cash, representing a 33% premium to the closing price of the shares on August 2, prior to the first Reuters report on the potential acquisition. The deal values Kellanova at $ 35.9 billion, including debt.
Kellanova was created last year when Kellogg’s spun off its North American cereal business, now known as WK Kellogg Co., from its snack business, which was renamed Kellanova.
Kellanova boasts a diverse portfolio of brands, including Pringles, Cheez-It, and Eggo.
«The Kellanova brands significantly expand our snacking platform, allowing us to more effectively meet consumer needs and drive profitable business growth», - said Andrew Clarke, Global President of Mars Snacking.
Mars, a private company, is expanding beyond the confectionery business. In 2020, it acquired Kind North America, the maker of Kind Bars. The company has also heavily invested in its significant pet care division, including the pet food brand Iams, as well as veterinary clinics and hospitals.
«Welcoming the portfolio of growing global brands from Kellanova, we have a significant opportunity to further develop a sustainable snacking business that will meet the future», - said Paul Weirich, CEO of Mars.
«We will honor the legacy and innovation behind the amazing snack and food brands of Kellanova, combining our strengths to provide greater choice and innovation to consumers and customers».
Mars noted that the deal, pending approval from Kellanova shareholders and regulatory authorities, will expand its portfolio of health and wellness-related brands that appeal to young consumers and help meet demand in fast-growing markets such as Africa and Latin America.
«Snacks are a large, attractive, and enduring category that continues to grow in importance for consumers», - said Kellanova.
Steve Cahillane, President and CEO of Kellanova, remarked: «This is truly a historic combination with compelling cultural and strategic alignment».
Kellanova, which operates in 180 markets, generated over $ 13 billion in revenue last year and has approximately 23,000 employees
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