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MCLEAN, Va. — Candy and snack giant Mars Inc. has agreed to buy Kellanova in a $35.9 billion deal that will add such iconic snack brands as Pringles, Cheez-It, Pop-Tarts and Nutri-Grain to a roster that includes Snickers, M&M's and Twix.
The deal, which includes an all-cash offer of $83.50 per share, represents a significant premium over Kellanova’s recent trading values and marks a major strategic move for Mars as it seeks to double its snacking business over the next decade.
With 2023 net sales exceeding $13 billion and a presence in 180 markets, Kellanova’s portfolio is a natural fit for Mars, enhancing its market reach and product diversity, the companies said.
“In welcoming Kellanova’s portfolio of growing global brands, we have a substantial opportunity for Mars to further develop a sustainable snacking business that is fit for the future," Mars CEO Poul Weihrauch said. "We will honor the heritage and innovation behind Kellanova’s incredible snacking and food brands while combining our respective strengths to deliver more choice and innovation to consumers and customers.”
Kellanova chairman, president, and CEO Steve Cahillane echoed this sentiment, highlighting the cultural and strategic fit between the two companies and arguing that the transaction not only maximizes shareholder value but also creates exciting opportunities for employees, customers, and suppliers.
“We are excited for Kellanova’s next chapter as part of Mars, which will bring together both companies’ world-class talent and capabilities and our shared commitment to helping our communities thrive,” Cahillane said.
Kellanova's snacking brands include Pringles, Cheez-It, Pop-Tarts, Rice Krispies Treats, NutriGrain and RXBAR, as well as such food brands as Kellogg’s (international), Eggo and MorningStar Farms. Kellanova had net sales of more than $13 billion in 2023, with a presence in 180 markets and approximately 23,000 employees.
Kellanova’s portfolio complements the existing Mars portfolio, which includes billion-dollar snacking and confectionery brands like SNICKERS, M&M’S, TWIX, DOVE and EXTRA, as well as KIND and Nature’s Bakery. Mars also has 10 pet care brands with over $1 billion in sales, including ROYAL CANIN, VCA, PEDIGREE, BANFIELD, WHISKAS, BLUEPEARL, CESAR, SHEBA, ANICURA and IAMS. With more than 150,000 associates across its pet care, snack, and food businesses, Mars had 2023 net sales of more than $50 billion.
The acquisition will see Kellanova become part of Mars Snacking, led by global president Andrew Clarke and headquartered in Chicago. Mars said it plans to leverage its brand-building expertise to nurture and grow Kellanova’s brands, with a focus on innovation, expanding reach, and introducing more nutrition-focused options to meet evolving consumer needs.
“This is an exciting opportunity to create a broader, global snacking business, allowing Kellanova and Mars Snacking to both achieve their full potential," Clarke said. "Kellanova and Mars share long histories of building globally recognized and beloved brands. The Kellanova brands significantly expand our Snacking platform, allowing us to even more effectively meet consumer needs and drive profitable business growth. Our complementary portfolios, routes-to-market and R&D capabilities will unleash enhanced consumer-centric innovation to shape the future of responsible snacking.”
The transaction, unanimously approved by Kellanova’s Board of Directors, is expected to close in the first half of 2025, pending shareholder approval and regulatory clearances. The W.K. Kellogg Foundation Trust and the Gund Family, who collectively hold a significant portion of Kellanova’s stock, have committed to supporting the deal.
As Mars continues to build its presence in the global snacking market, this acquisition represents a pivotal step in its long-term strategy, reinforcing its commitment to sustainable growth and consumer-centric innovation.
