Ferrero to Acquire Iconic WK Kellogg for $3.1B
A year after news surfaced that Mars, Inc. plans to acquire the Kellanova company spun off from the former Kellogg Co., The Wall Street Journal reported this week that WK Kellogg Co. is being scooped up by Italian company The Ferrero Group. The deal is valued at $3.1 billion.
WK Kellogg confirmed the report on July 10, announcing that the 120-year-old Battle Creek, Mich., business has entered a definitive agreement for Ferrero to acquire the company for $23 per share in cash. The acquisition includes the manufacturing, marketing and distribution of WK Kellogg’s famous cereal portfolio.
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Ferrero has several well-established brands in North America, including Ferrero Rocher, Nutella, Kinder, Tic Tac, Butterfinger, Keebler, Famous Amos, Jelly Bell, NERDS, Trolli, Blue Bunny, Bomb Pop and Halo Top. The international company has been on a rapid M&A path over the past several years and currently employs about 14,000 people in North America across 11 offices.
Ferrero announced that it plans to invest in and grow WK Kellogg’s cereal brand that includes the iconic Frosted Flakes, Froot Loops and Rice Krispies lines, among others.
"I am thrilled to welcome WK Kellogg Co to the Ferrero Group. This is more than just an acquisition – it represents the coming together of two companies, each with a proud legacy and generations of loyal consumers," declared Giovanni Ferrero, executive chairman of the Ferrero Group. "Over recent years, Ferrero has expanded its presence in North America, bringing together our well-known brands from around the world with local jewels rooted in the U.S. Today's news is a key milestone in that journey, giving us confidence in the opportunities ahead."
Gary Pilnick, chairman and CEO of WK Kellogg Co., explained some of the factors behind the deal. "We believe this proposed transaction maximizes value for our shareowners and enables WK Kellogg Co to write the next chapter of our company's storied legacy,” he said. "Since becoming an independent public company in October 2023, we have made excellent progress on our journey to become a more focused and more profitable business – driven by our tremendous people and a winning culture – all while building a strong foundation for future growth.
"Joining Ferrero will provide WK Kellogg Co with greater resources and more flexibility to grow our iconic brands in this competitive and dynamic market," he continued. "As a family-owned private company with values in line with our founder W.K. Kellogg, Ferrero provides a great home for our people and has a track record of supporting the communities in which it operates. We look forward to collaborating with their team to deliver on the great promise of cereal, explore opportunities beyond cereal, and help us bring our best to consumers every day."
The companies shared that Ferrero’s headquarters for North American cereal will remain in Battle Creek.
Ferrero began as a pastry shop in Alba, Italy, in 1946. Today, its brands are sold in more than 170 countries. It is still owned by members of the Ferrero family.
WK Kellogg Co. can trace its roots to 1894, when it was founded by W.K. Kellogg who invented Corn Flakes. The Kellogg Co. split into WK Kellogg and Kellanova in 2023. Also this week, WK Kellogg announced its preliminary second quarter net sales for 2025, which are expected to fall between $610 million to $615 million. In May, the company reported that its net sales decreased 6.2% in the first quarter on a year-over-year (YoY) basis, while net income declined 45.5% YoY.
