Kellogg Sells for $3.1 Billion: Snap, Crackle, and Stock

Say goodbye to Snap, Crackle, and stock tickers. WK Kellogg is going private! The Italian snack giant Ferrero Group (yes, the folks who gave us Nutella and those fancy gold-wrapped Ferrero Rocher chocolates) has just scooped up a cereal giant as WK Kellogg sells for $3.1 billion.

Ferrero will pay $23 per share to acquire the cereal side of Kellogg’s business, which includes classics like Froot Loops, Frosted Flakes, Special K, and Rice Krispies. This deal means Kellogg's cereal business will no longer be publicly traded on the New York Stock Exchange.

If you ever dreamed of owning a piece of Tony the Tiger… sorry, that ship has sailed with the news of "Kelloggs sells." Ferrero is taking over full operations: manufacturing, marketing, and distribution in the U.S., Canada, and the Caribbean.

WK Kellogg is based right in Battle Creek, Michigan. Cereal City USA just sold one of its most iconic legacies to an Italian snack powerhouse. Kellogg has called Battle Creek home since 1906, when W.K. Kellogg himself helped put the city on the map as the “Cereal Capital of the World.”

Kids, this is what a GRRRREAT commercial looked like in the '80s. Enjoy.

So what does this mean for Michigan? So far, WK Kellogg says their headquarters will stay in Battle Creek. Obviously, this is a big deal for local jobs and identity. The company employs thousands in the region, and for many Michiganders, cereal isn’t just breakfast, it’s tradition and it's an income source for generations.

Ferrero, for its part, has been steadily building up its U.S. presence. They've already bought up Keebler, Famous Amos, and some of Kellogg’s snack brands in past years. With this deal, they’re looking to strengthen their hold on the morning market but whether they keep the hometown vibe alive in Battle Creek remains to be seen.

Let’s hope they don’t mess with Tony the Tiger or Michigan’s cereal soul.