Chocoloate brand Mars buys Pringles maker Kellanova for $36 billion
Mars, the renowned company behind popular chocolate brands like M&M's and Snickers, has announced its plan to acquire Kellanova. The latter is a snack food business that was separated from Kellogg's last year. Kellanova is the owner of several well-known brands such as Cheez-It, Pringles, and Eggo. This significant acquisition, valued at $35.9 billion including debt, is set to form a new global food powerhouse.
Kellanova's portfolio and market presence
Kellanova operates in 180 markets globally and generated over $13 billion in revenue last year. It employs approximately 23,000 people worldwide. Kellanova was previously part of cereal giant Kellogg's, which split its snack business from its cereal brands last year. This acquisition will significantly expand Mars's product range beyond sweets to include both salty and sweet food items. Mars employs over 150,000 people and reported more than $50 billion in sales last year.
Mars's strategic expansion and CEO's statement
Mars has been strategically expanding its business beyond confectionery. In 2020, it acquired Kind North America, the maker of Kind Bars. The company also owns a significant pet business that includes the pet food brand Iams and several animal clinics and hospitals. Poul Weihrauch, CEO of Mars, stated that this acquisition presents "a substantial opportunity for Mars to further develop a sustainable snacking business that is fit for the future."
