Latest news with #MiniWheats
Yahoo
10-07-2025
- Business
- Yahoo
Why Kellogg Stock Skyrocketed as Much as 33% on Thursday
Reports emerged late Wednesday that a potential deal was in the works. Kellogg announced Thursday morning that it would be acquired by Italian company Ferrero. 10 stocks we like better than WK Kellogg › Shares of WK Kellogg (NYSE: KLG) charged sharply higher Thursday, surging as much as 33.7%. As of 10:40 a.m. ET, the stock was still up 33.6%. The catalyst that sent the iconic cereal maker soaring was news that the company would be taken private. Reports emerged late Wednesday that Kellogg, purveyor of such well-known cereal brands as Frosted Flakes, Fruit Loops, and Mini Wheats, was being courted by Italian confectionery maker Ferrero, which is best known for its Nutella, Ferrero Roche, Kinder, and Keebler brands, according to an exclusive report in The Wall Street Journal. In a press release that dropped before the market opened on Thursday, Kellogg announced that it had entered into a definitive agreement to be acquired by Ferrero. Kellogg shareholders will receive $23 per share in an all-cash deal, and roughly 40% higher than recent share prices. The deal values the cereal maker at roughly $3.1 billion in total enterprise value. Ferrero noted the acquisition was the next step in its growth strategy of expanding its reach into "renowned, beloved brands with strong consumer relevance." Under the terms of the agreement, which has been unanimously approved by its board of directors, Kellogg will become a wholly owned subsidiary of Ferrero. The deal is also being supported by the W.K. Kellogg Foundation Trust and the Gund Family, which own roughly 21.7% of outstanding shares and have committed to vote in favor of the transaction. The agreement is subject to approval by regulators and Kellogg shareholders, and is expected to close in the second half of 2025. The company has undergone a transformation in recent years. In late 2023, Kellogg's North American cereal business was spun off from the predecessor company, which was rebranded Kellanova and retained the company's snack food brands, including Pringles and Cheez-It, and its frozen food brand Morningstar Farms. Before you buy stock in WK Kellogg, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and WK Kellogg wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $694,758!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $998,376!* Now, it's worth noting Stock Advisor's total average return is 1,058% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of July 7, 2025 Danny Vena has no position in any of the stocks mentioned. The Motley Fool recommends WK Kellogg. The Motley Fool has a disclosure policy. Why Kellogg Stock Skyrocketed as Much as 33% on Thursday was originally published by The Motley Fool
UPI
10-07-2025
- Business
- UPI
Ferrero to acquire Kellogg CO for $3.1 billion
Ferrero has agreed to buy Kellogg CO in a $ 3.1 billion deal, companies announced Thursday. EPA-EFE/Miguel Gutierrez July 10 (UPI) -- Italy's Ferrero will acquire U.S. cereal maker WK Kellogg in a $ 3.1 billion deal, the companies announced Thursday. The agreement includes manufacturing, marketing and distribution of WK Kellogg's portfolio of breakfast cereals across the United States, Canada and the Caribbean. Pending approval from shareholders, $23 per share cash deal is expected to close in the latter half of the year. Ferrero plans to invest in WK Kellogg's brands such as Frosted Flakes, Froot Loops, Mini Wheats, Special K, Rice Krispies, Raisin Bran, Bear Naked and more as it seeks to expand growth. "Over recent years, Ferrero has expanded its presence in North America, bringing together our well-known brands from around the world with local jewels rooted in the U.S.," Ferrero Group executive chair Giovanni Ferrero said. Ferror recently purchased Nestle's candy business in the United States and Wells Enterprises, which owns Halo Top ice cream. In 2023, the Kellogg Company split itself into two companies, with WK Kellogg maintaining its cereal business while a separate company, Kellanova, maintained its snack offerings. "We believe this proposed transaction maximizes value for our shareowners and enables WK Kellogg Co to write the next chapter of our company's storied legacy," WK Kellogg CEO Gary Pilnick said.
