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Cereal maker WK Kellogg shares jump 50% on report of possible $3 billion deal with Ferrero

July 9, 2025
08:51 PM
2 min read
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The standalone cereal business WK Kellogg began trading in 2023.

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2 min read

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investment

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Published

July 9, 2025

08:51 PM

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CNBC

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stocksconsumer staplesfood processingmarket cyclesseasonal analysismarket

S of WK Kellogg spiked on a report that Ferrero is nearing an agreement to buy the breakfast food company for $3 billion

A deal could close as soon as this week, according to The Wall Street Journal

WK Kellogg, which makes cereals such as Froot Loops and Frosted Flakes, spun off into a standalone company in 2023

In this articleKLG your favorite stocksCREATE FREE ACCOUNTBoxes of various Kellogg's cereals are displayed on shelves at a Walmart Supercenter on May 6, 2025 in Austin, Texas

Brandon Bell | Getty Imagess of WK Kellogg soared more than 50% on Wednesday ing a report that chocolate maker Ferrero is close to a roughly $3 billion deal to buy the cereal company

The Italian company known for its circular hazelnut chocolates could finalize an acquisition of the legacy breakfast foods as soon as this week, The Wall Street Journal reported, citing people familiar with the matter

WK Kellogg, which makes U

Childhood staples such as Froot Loops and Frosted Flakes, spun off into a standalone company in 2023

A separate publicly traded, Kellanova, now houses snack brands such as Pringles and Cheez-It

M&M owner Mars agreed to buy Kellanova for $36 billion last year in a deal that has not yet closed

WK Kellogg s have fallen 2% this year, and the company has a roughly $1. 5 billion market cap

A Ferrero acquisition of WK Kellogg would add to consolidation in packaged foods

Many American consumers have shunned sugary cereals in favor of breakfast options considered healthier, and other shoppers moved to private label brands after inflation spiked in recent years

The move would deepen Ferrero's ambitions in the U

Candy company in May announced a new slate of ducts to appeal to American consumers, including peanut Nutella and Dr Pepper Tic Tacs.