Ferrero Nears $3B Deal to Acquire WK Kellogg Cornflakes, Cereal Brands

Ferrero, the Italian company known for Nutella and Ferrero Rocher, is close to acquiring WK Kellogg Co, the American breakfast cereal maker behind iconic brands such as Corn Flakes, Froot Loops, and Frosted Flakes, in a deal valued around $3 billion. WK Kellogg, which was spun off from the parent company Kellogg’s in 2023, has struggled with declining sales and shifting consumer preferences toward fresh or protein-rich breakfasts, leading to a revenue drop and reduced profitability. The acquisition would be Ferrero's largest to date, further expanding its footprint in the U.S. market and diversifying its product offerings beyond confectionery into cereals. This deal comes amid broader industry shifts, with Kellogg’s former snack business, Kellanova, being acquired by Mars in a separate multi-billion dollar transaction. Analysts view the move as strategic for Ferrero to capitalize on economies of scale and deepen its presence in North America, where it has been actively acquiring brands such as Wells Enterprises and Nestlé’s U.S. chocolate business in recent years. The transaction is anticipated to be announced soon, pending any last-minute complications.