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01 April 2019
Ferrero buys the biscuits, fruit snacks, ice cream and tarts business from Kellogg Company for $ 1.3 billion (1.16 billion euros at current exchange rates) in cash.
These businesses, specifies the Italian group in a note, generated a turnover of approximately 900 million dollars in 2018.
In detail, Ferrero will acquire Keebler-branded biscuits, the top-selling 'on the go' Famous Amos biscuits, the premium family biscuit brand Mother's and Murray's sugar-free biscuits, as well as Little Brownie Bakers, supplier of biscuits for girls. Scouts.
Ferrero will also acquire Kellogg's fruit snack business, including Stretch Island and Fruity snacks, along with Keebler's ice cream cones and tarts.
Since 2017, Ferrero has acquired several US brands and companies and, with this transaction, will enter new strategic product categories, further strengthening its position in the North American market.
Ferrero will also acquire six US-owned manufacturing plants across the country from Kellogg: in Allyn (Washington), Augusta (Georgia), Florence and Louisville in Kentucky and two plants in Chicago, Illinois;
as well as a leased manufacturing facility in Baltimore, Maryland.
"Kellogg's biscuits, fruit snacks, ice cream and tarts business represent an excellent strategic solution for Ferrero, as they allow us to continue to increase our overall presence and product offering in the North American market," he said. Giovanni Ferrero, Executive Chairman of the Ferrero Group.
"With this transaction, I look forward to bringing many iconic Kellogg brands to the Ferrero portfolio, welcoming new colleagues to our vast community and continuing our tradition of growing brands, as we have done through the successful acquisitions of Fannie. May, Ferrara Candy Company and Nestlé's former US confectionery business. We have great respect for Kellogg, for his legacy and values and we are proud that he has chosen Ferrero as a good home for these businesses. "