The European Commission has granted unconditional approval for Mars, Incorporated’s $36 billion acquisition of Kellanova, clearing the last regulatory hurdle for the deal. The transaction, which values Kellanova at $83.50 per share, is expected to close on December 11 2025, subject to customary closing conditions.
The combined entity will bring together Kellanova’s portfolio of snack brands—Pringles, Cheez‑It, Pop‑Tarts, Rice Krispies Treats, RXBAR, and a range of international cereal brands—with Mars’ own snack lineup that includes Snickers, M&M’s, Twix, Skittles, and KIND. Together they will generate roughly $36 billion in annual revenue and operate in more than 145 markets worldwide, positioning the new company as a leading player in the global snacking industry.
Kellanova’s recent financial results provide context for the deal. In 2024 the company reported $12.75 billion in revenue, a 2.84% decline from 2023, largely due to weaker demand in its legacy cereal business. In the third quarter of 2025, Kellanova posted $3.26 billion in revenue, up 0.84% year‑over‑year, and an earnings‑per‑share of $0.94, beating the consensus estimate of $0.88. The EPS beat was driven by strong performance in core snack categories and disciplined cost management, which helped offset the modest revenue decline in the cereal segment.
Both CEOs underscored the strategic fit and shared values. Poul Weihrauch, Mars’ CEO, said the acquisition “creates an even more innovative global snacking business that delivers greater choice and quality to consumers worldwide.” He added that the deal “honors Kellanova’s heritage while combining our strengths to accelerate sustainable growth.” Steve Cahillane, Kellanova’s CEO, described the combination as “two purpose‑driven, principles‑led companies” and highlighted the opportunity to “accelerate the realization of our full potential” through the partnership.
The European Commission’s approval followed earlier U.S. regulatory clearance and focused on potential bargaining power with retailers. The Commission concluded that the transaction would not raise competition concerns, allowing the deal to move forward. Market reaction has been positive, with Kellanova’s stock trading near its 52‑week high, reflecting investor confidence in the deal’s completion at the announced terms.
Strategically, the acquisition expands Mars’ footprint in emerging markets—particularly Africa—where Kellanova already has a strong presence. It also strengthens Mars’ position in the growing healthier‑snack segment and aligns with both companies’ sustainability commitments, as the combined entity will pursue Mars’ Net‑Zero and Responsible Marketing initiatives. The deal is expected to create cross‑promotional opportunities, scale efficiencies, and a broader brand portfolio that can better compete with PepsiCo and Mondelez International.
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