Ferrero, WK Kellogg
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Shares of WK Kellogg, the cereal maker behind Froot Loops and Frosted Flakes, skyrocketed as high as 50% after the Wall Street Journal reported Wednesday that Ferrero was nearing acquiring the company for $3 billion.
Ferrero said the deal would expand its presence in North America and help the company move beyond its candy and snack offerings.
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Parade on MSNFerrero to Buy Major US Cereal Brand in Massive DealThe Italian candy maker and iconic brand of breakfast foods are expected to close on the deal later this year.
This deal continues Ferrero's track record of acquiring and growing well-known brands to strengthen its North American presence.
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mlive on MSNKellogg sold to Italian candy company: How leaders are responding in the ‘Cereal City’WK Kellogg Co’s headquarters is in Battle Creek. After the transaction closes, Battle Creek will remain a core location for the company and will be Ferrero’s headquarters for North America cereal, a news release from WK Kellogg states.