Kellogg shares soar on reports of Ferrero takeover talks
After the chocolate giant Ferrero was close to purchasing the company for approximately $ 3 billion (£ 2.2 billion), the shares in the producer of Kellogg’s Egyptian stamps increased by more than 50%.
WALL Street Journal and Financial Times, Fruit Cycles and Rice Krispies Breakfast Cereals WK Kellogg for the owner of a transfer agreement may come this week as soon as possible.
The Italian owner of Ferrero Rocher and Kinder Brands has been expanding by acquiring Nestle’s confectionery business and several other food companies in recent years.
WK Kellogg and Ferrero BBC did not respond immediately to comments.
When the ordinary trading ended on July 9, the agreement may be worth the Double WK Kellogg’s $ 1.5 billion stock market value.
Ferrero would see that the US breakfast took a dominant position in the cereal market.
Founded in 1946, the Italian company is the largest players in the chocolate market and more than 30 brands are sold globally.
WK Kellogg has been fighting financially in recent years and has more than $ 500 million debt.
In 2023, breakfast cereals left the former parent company’s re -called a snack operation.
The following year, Kellanova Pringles Cips and Pop Tarts were purchased by the confectionery giant Mars for $ 36 billion.
As customers go into healthier options, food companies face great difficulties, which forced them to change their way of working.
Companies have also seen that some companies have increased costs forcing prices to determine their prices.
Industry also under pressure from the Trump administration, which aims to collect artificially in brands such as fruit cycles as part of the “Make America again” campaign.
Kellogg, until the 2026-27 academic year in schools eaten cereals will remove synthetic colors, he said. However, he has not yet set a timeline to remove the cereals sold to the public yet.
Will Keith Kellogg, the founder of the company, is widely considered the inventor of corn stamps.
