M&A · Industrials · Grain Mill Products
Ferrero International S.A. to acquire WK Kellogg Co
Announced Jul 10, 2025 · Closed Sep 26, 2025
Deal value$3.10BEV $3.10B
Premium36.0%To unaffected price
EV / Adj. EBITDA12.3x1.2x EV / Revenue
ConsiderationAll cash$23.00 per share
Transaction
- Acquirer
- Ferrero International S.A.
- Target
- WK Kellogg Co (KLG)
- Buyer type
- Strategic
- Offer price per share
- $23.00
- Enterprise value
- $3.10B
- Status
- Closed Sep 26, 2025
Deal protections
- Break fee (target pays)
- $73.5M · 2.4%
- Reverse fee (buyer pays)
- $105M · 3.4%
- Go-shop
- No-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- Lazard, BofA Securities
- To the target
- Goldman Sachs, Morgan Stanley
- Goldman Sachs fee
- $2.0M
- Morgan Stanley fee
- $2.0M
Sector context · Industrials
- Comparable deals
- 95 in the prior 24 months
- Premium
- 36.0% vs. 39.0% sector median
- EV / Adj. EBITDA
- 12.3x vs. 9.2x sector median
- Break fee
- 2.4% vs. 2.7% sector median
Timeline
- AnnouncedJul 10, 2025
- Proxy filedAug 7, 2025
- Definitive proxyAug 19, 2025
- Shareholder voteSep 19, 2025
- ClosedSep 26, 2025
Valuation · fairness opinions
Discounted cash flowGoldman Sachs$20.53$26.63
Discounted cash flowGoldman Sachs$20.51$26.61
Future share priceGoldman Sachs$18.72$26.19
Future share priceGoldman Sachs$18.69$26.17
Premiums paidGoldman Sachs$20.08$25.37
Trading comparablesMorgan Stanley$14.50$19.00
Trading comparablesMorgan Stanley$15.75$20.25
Precedent transactionsMorgan Stanley$19.00$25.00
Precedent transactionsMorgan Stanley$20.25$26.50
Future share priceMorgan Stanley$21.00$26.75
Offer $23.00
Implied value per WK Kellogg Co share by analysis, from Goldman Sachs and Morgan Stanley · DCF discount rate 7.5%–8.5%.