European Union antitrust regulators will decide by June 25 whether to approve Mars Incorporated’s $36 billion acquisition of Kellanova, the iconic maker of Pringles, Pop-Tarts, and Cheez-It, according to a filing by the European Commission.
The blockbuster deal, announced in August 2024, would unite two global food giants—Mars, best known for M&M’s and Snickers, and Kellanova, a leader in global snacking and international cereals. If approved, the acquisition would be one of the largest in the packaged food sector in recent years, further cementing Mars’ ambitions to double its snacking business over the next decade.
The European Commission, which is currently conducting its preliminary review, can either clear the deal with or without conditions or launch a more detailed four-month Phase II investigation if serious competition concerns arise. Legal experts suggest that the deal is likely to withstand scrutiny, given the relatively limited product overlaps between the companies. However, media reports indicate that several European retailers have flagged potential concerns to regulators, raising the prospect of remedies being requested before clearance.
Mars and Kellanova are aiming to complete the transaction by August 2025. However, under the terms of the agreement, the timeline may be extended by up to 12 months if required to secure regulatory approvals.
Shaping the Future of Global Snacking
Mars CEO Poul Weihrauch said the acquisition presents a “substantial opportunity” to accelerate the company’s vision for a future-focused and sustainable snacking business. “We will honor the heritage and innovation behind Kellanova’s incredible brands while delivering more choice and innovation to consumers globally,” he noted.
For Kellanova, the transaction offers shareholders $83.50 per share in cash, representing a 44% premium on its 30-day average share price prior to the deal announcement. The agreement has been unanimously approved by Kellanova’s Board of Directors and is backed by major shareholders including the W.K. Kellogg Foundation Trust and the Gund Family.
“This is a historic combination with a compelling cultural and strategic fit,” said Kellanova CEO Steve Cahillane. “Joining Mars enables us to accelerate our transformation and unlock new opportunities for our brands, employees, and customers.”
Kellanova, which reported over $13 billion in net sales in 2023, brings with it a powerful global presence in 180 markets and a workforce of roughly 23,000 employees. Its brands will complement Mars’ existing $50 billion portfolio spanning confectionery, pet care, and food.
Strategic Fit with Global Growth in Mind
The combined business is expected to benefit from complementary distribution networks, innovation capabilities, and category leadership. Mars will gain two new billion-dollar snack brands—Pringles and Cheez-It—as well as a significant foothold in fast-growing segments such as plant-based foods and health-focused snacks, including RXBAR and NutriGrain.
Mars plans to integrate Kellanova into its Mars Snacking division, which will remain headquartered in Chicago and led by Global President Andrew Clarke. “This deal allows Mars to serve more consumers, innovate faster, and expand in high-growth geographies such as Africa and Latin America,” Clarke said.
The companies also highlight a shared commitment to sustainability and social responsibility. Kellanova’s “Better Days Promise” aligns with Mars’ “Sustainable in a Generation” plan, including Mars’ broader net-zero goals.
Regulatory and Financial Details
The acquisition will be financed through a combination of cash on hand and new debt, with financing support from J.P. Morgan and Citi. Legal and financial advisors include Skadden, Goldman Sachs, Kirkland & Ellis, and Cravath, among others.
If cleared by regulators, the deal would significantly reshape the global snacking landscape and mark a new chapter for two of the world’s most recognized food brands.
