Nutella maker Ferrero to buy cereal giant WK Kellogg for $3.1 billion

Italian confectioner Ferrero, parent to brands such as Nutella and Kinder, will acquire American cereal giant WK Kellogg for approximately $3.1 billion, as it seeks to expand its footprint in North America. With this acquisition, brands including Nutella, Tic Tac, Kinder, Froot Loops, Frosted Flakes, and Special K will come under one roof.

“Enhancing our portfolio with these complementary household brands marks an important step towards expanding Ferrero’s presence across more consumption occasions and reinforces our commitment to delivering value to consumers in North America,” said Lapo Civiletti, Chief Executive Officer of the Ferrero Group, in a statement.

This is not Ferrero’s first acquisition. In recent years, it has purchased Nestlé’s US confectionery business for around $2.8 billion, and Wells Enterprises, the maker of Blue Bunny ice cream.

“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 US. Today’s news is a key milestone in that journey, giving us confidence in the opportunities ahead,” Civiletti added in the press release.

In 2023, Kellogg Company separated its North American business into two independent, publicly listed companies: WK Kellogg Co (cereals) and Kellanova (snacks).

“Joining Ferrero will provide WK Kellogg Co with greater resources and more flexibility to grow our iconic brands in this competitive and dynamic market,” said Gary Pilnick, Chairman and Chief Executive Officer of WK Kellogg Co, in the statement.