After revealing its intention to sell several of its snacking brands back in April of this year, Kellogg Company has announced that it has officially closed the sale. Keebler cookies and other selected business have been acquired by Italy’s Ferrero confectionery group and its related companies in a 1.3 billion dollar transaction.
“This sale strengthens our ability to focus on the areas of our business with the biggest growth opportunities, which is a key component of our Deploy for Growth Strategy,” said Steve Cahillane, Kellogg Chairman and CEO.
WHAT FERRERO IS BUYING
The transaction includes brands and assets primarily related to select cookie and snack brands that used to belong to Kellogg’s range. Keebler, Mother’s, Famous Amos, Murray’s, and Murray’s Sugar Free, and cookies manufactured for Girl Scouts of the United States of America should be all included in the sale, along with Kellogg’s Fruity Snacks fruit-flavored snacks, Stretch Island fruit Strips, pie crusts, and ice cream cones businesses.
The deal further strengthens Ferrero’s presence in the US market, following the company’s purchase of Nestlé’s US confectionery unit for $2.8 billion last year.
