Nutella maker Ferrero to buy cereal maker WK Kellogg

Ferrero, the Italian confectioneryman Ferrero, known for brands such as Nutella and Kinder, buys WK Kellogg, a century -old US cereal company.

The value of the agreement is about $ 3.1 billion ($ 4.7 billion).

Ferrero group said on Thursday that he would pay $ 23 for each Kellogg share.

The transaction includes WK Kellogg CO’s production, marketing and distribution of the breakfast cereal portfolio in the United States, Canada and Caribbean.

WK Kellogg’s shares increased by 30 percent in pre -market transactions on Thursday.

Founded in 1906 in Michigan, Battle Creek, Kellogg, fruit cycles, special K, ice stamps and rice krispies.

The current company was founded in 2023, when snack brands such as Kellogg’s Chees-ITs and Pringles became a separate company called Kellanova.

M & M’s producer Mars Inc announced last year that it plans to buy Kellanova with an agreement worth approximately $ 30 billion.

Founded in 1946 in Italy, Ferrero Group is trying to expand the US footprint.

In 2018, he bought Nestle’s Us Lolly brands, including Butterfinger, Nerds and Sweetarts.

And in 2022, he bought Wells Enterprises, the manufacturer of ice cream brands such as Blue Bunny and Halo Top.

The agreement, which still needs the approval of Kellogg shareholders, is expected to close in the second half of the year.

After the process is completed, Kellogg’s shares will no longer trade at the New York Stock Exchange and the company will be a Ferrero subsidiary.