Mars Inc. received approval from the European Commission Dec. 8 for its acquisition of Kellanova (NYSE: K), clearing the final regulatory hurdle for the $36 billion deal. The companies anticipate closing the transaction on Dec. 11.
The European Commission’s approval was the last of 28 required regulatory clearances. Kellanova shareholders approved the transaction on Nov. 1, 2024, following the definitive agreement announced on Aug. 14, 2024.
“We are excited to have received final regulatory approval for the pending acquisition of Kellanova,” said Poul Weihrauch, CEO and Office of the President of Mars Inc. “Our focus now turns to welcoming Kellanova employees to Mars and creating an even more innovative global snacking business that delivers greater choice and quality to more consumers around the world.”
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Combined portfolio
Upon closing, Kellanova’s snacking brands – including Pringles, Cheez-It, Pop-Tarts, Rice Krispies Treats, RXBAR and Kellogg’s international cereal brands – will join the Mars Snacking portfolio, which includes Snickers, M&M’s, Twix, Skittles, Extra and Kind.
The combined snacking business is expected to generate approximately $36 billion in annual revenue with a portfolio of nine billion-dollar brands. Mars Snacking will remain headquartered in Chicago and operate in more than 145 markets with more than 50,000 employees, 80 global production facilities and more than 170 retail outlets including Hotel Chocolat and M&M’s World.
“Today marks an extraordinary milestone and the culmination of years of work for many of our Associates,” said Andrew Clarke, global president of Mars Snacking.
“We can’t wait to welcome Kellanova talent to Mars and create a shared, global snacking leader with a beloved range of brands. We’ve said all along that Mars Snacking and Kellanova will be better together, building on the strength of our respective legacies and capabilities to unlock new possibilities and drive growth.”
Transaction details
Following the completion of the transaction, Kellanova’s common stock will be delisted and cease trading on the New York Stock Exchange. Shareholders will receive $83.50 in cash per share.
Steve Cahillane, chairman, president and CEO of Kellanova, said, “This combination will bring together two purpose-driven and principles-led companies. Serving as Kellanova’s chairman, president and CEO has been a true honor, and I’m looking forward to seeing Kellanova people and brands thrive as part of Mars Snacking.”
Mars Inc. is a family-owned company with about $55 billion in revenue and 150,000 employees globally. Kellanova, which split from WK Kellogg Co. in 2023, is a leader in global snacking, international cereal and noodles and North America frozen foods.
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