Italian confectionery giant Ferrero is considering a potential £2.2 billion acquisition of WK Kellogg, the parent company of iconic cereal brands including Froot Loops and Rice Krispies.
According to the Financial Times, the deal could be finalised by the end of this week, with WK Kellogg’s shares surging in response to media reports. The BBC reports that the cereal brand's stock jumped by 56% following news of the potential acquisition.
Ferrero has expanded its brand portfolio through a series of acquisitions and currently owns well-known names including Ferrero Rocher, Kinder, and Tic Tac.
In 2023, Kellogg’s split its operations, rebranding its snack division as Kellanova. WK Kellogg, which retained the cereal business, has since faced financial challenges and is currently burdened with over $500 million in debt.
Last year, Mars acquired Kellanova’s snack division—home to brands like Pringles, Pop-Tarts, Rice Krispies Treats, and Special K—in a deal reportedly worth around £22 billion.
Confectionery, snack, and cereal brands are under growing pressure as consumers increasingly prioritise healthier eating habits, favouring products with reduced salt, sugar, and fat.
However, neither company has officially confirmed the potential deal, and specific details remain undisclosed.
