Mars’ proposed acquisition of Kellanova received approval from U.S. regulators Wednesday — but antitrust officials across the pond have instead launched an investigation into the $36 billion deal.
Company officials had originally intended to close the transaction in the first half of this year, but now expect to complete it toward “the end of 2025” — although the “exact timing cannot be predicted with any certainty at this point.”
“The transaction has now received all but one of the 28 required regulatory clearances, with only the review by the European Commission outstanding,” Mars President and CEO Poul Weihrauch said in a statement.
The U.S. Federal Trade Commission concluded its review after determining that the proposal did not raise competition concerns, but regulators in the EU, according to Reuters, raised concerns that the combination would bolster Mars’ leverage in negotiating with retailers — and could end up raising prices. Mars could be required to divest some of its assets in order to satisfy European officials, the report added.
The acquisition — one of the largest announced last year — would add the Pringles, Eggo and Town House brands spun out of Kellogg Co. in 2023 to Mars’ candy- and pet food-focused portfolio.
