WK Kellogg to be Acquired by The Ferrero Group in a $3.1 Billion Cash Deal

Italy’s Ferrero Group entered a merger agreement on July 10, 2025, to acquire WK Kellogg Co (KLG) in an all-cash deal valued at $3.1 billion.

Deal Structure:

Under the terms of the agreement, Ferrero will acquire all outstanding equity of WK Kellogg Co for $23.00 per share in cash, representing a premium of 31.43% from the stock’s last close.

Company Profile:

WK Kellogg is a Battle Creek-based food company known for iconic cereal brands like Frosted Flakes, Special K, and Froot Loops, serving households across North America.

Ferrero is an Italy-based global sweet-packaged food company, renowned for brands like Nutella, Ferrero Rocher, Kinder, and Tic Tac, with a presence in over 170 countries and a portfolio that includes Ferrara, Keebler, and Blue Bunny in the U.S.

Deal Details and Timeline:

Following the transaction, expected to close in the second half of 2025, Battle Creek, Michigan, will remain a key location and serve as Ferrero’s North America cereal headquarters, where WK Kellogg is currently headquartered.

The W.K. Kellogg Foundation Trust and the Gund Family have agreed to vote their shares, representing 21.7% of WK Kellogg’s common stock, in favor of the merger.

WK Kellogg is being advised by Goldman Sachs and Morgan Stanley as financial advisors, and Kirkland & Ellis as legal counsel. The Ferrero Group has engaged Lazard and BofA Securities for financial advice, with Davis Polk & Wardwell providing legal counsel.

The Ferrero Group’s offer price represents 9.12 times the EBITDA of WK Kellogg.

Deal Metrics:

For a comprehensive understanding of this M&A transaction, please refer to the Deal Metrics page:

Deal Metrics for the acquisition of WK Kellogg Co (KLG) by The Ferrero Group

The Deal Metrics page for each merger or acquisition provides:

• A spread history chart of the merger from announcement through to completion or termination.
• Key events in the merger process, including expiration of the HSR period, regulatory approvals, shareholder votes, etc.
• News updates and SEC filings.
• A history of deal-related updates.
• And much more.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. Please conduct your own due diligence before making any investment decisions. We do not guarantee the accuracy or completeness of the information provided in this article.

Editor’s Note: Baranjot Kaur contributed to this article