Mars and Kellanova announced that they have entered into a definitive agreement under which Mars has agreed to acquire Kellanova for $83.50 per share in cash, for a total consideration of $35.9 billion, the largest acquisition of 2024. This represents a premium of approximately 44% to Kellanova’s unaffected 30-trading day volume weighted average price as of August 2, 2024. The total consideration represents an acquisition multiple of 16.4x LTM adjusted EBITDA as of June 29, 2024.

This transaction will unite two iconic businesses with complementary footprints and portfolios of beloved brands. The addition of Kellanova provides Mars Snacking, which includes billion-dollar snacking and confectionery brands like SNICKERS®, M&M’S®, TWIX®, DOVE® and EXTRA®, as well as KIND® and Nature’s Bakery® with entry into new attractive snacking categories. It will add two new billion-dollar brands – Pringles® and Cheez-It® – to the Mars business, which today includes 15 billion-dollar brands. It will also expand the Mars health & wellness Snacking portfolio with the addition of new complementary products like RXBAR® and NutriGrain® to reflect global trends and preferences.

The transaction is anticipated to close within the first half of 2025. Upon completion of the transaction, Kellanova will become part of Mars Snacking, led by Snacking Global President Andrew Clarke.

In 2023, the Kellogg Company spun off its cereal business, and the remaining business was renamed Kellanova. Kellanova had 2023 Net Sales of more than $13 billion, with a presence in 180 markets and approximately 23,000 employees.