Mars, Incorporated closed its acquisition of Kellanova on December 11, 2025, completing the largest food industry deal in years. The $36 billion transaction—which required 28 separate regulatory approvals across global markets—creates a snacking colossus with some of the world's most recognizable brands.

Under one corporate umbrella, you'll now find Pringles alongside M&M's, Pop-Tarts next to Snickers, and Cheez-It sharing shelf space with Skittles in the corporate portfolio.

What Mars Gets

Kellanova's brand portfolio fills significant gaps in Mars's product lineup:

  • Pringles: The iconic stackable chip brand with $2+ billion in annual sales
  • Cheez-It: The leading cheese cracker in North America
  • Pop-Tarts: The breakfast pastry that's become a cultural phenomenon
  • Rice Krispies Treats: A snacking staple for decades
  • RXBAR: Premium protein bars for health-conscious consumers
  • Kellogg's international cereals: Strong positions outside North America

The acquisition transforms Mars from primarily a confectionery and pet food company into a diversified snacking giant with presence across sweet, salty, and savory categories.

Creating a $65 Billion Empire

Combined, Mars is now a $65+ billion family-owned business spanning:

  • Snacking: M&M's, Snickers, Twix, Skittles, Pringles, Cheez-It, Pop-Tarts
  • Pet care: Pedigree, Whiskas, Royal Canin
  • Veterinary services: Banfield Pet Hospital, VCA
  • Food: Uncle Ben's (now Ben's Original), Seeds of Change

The scale positions Mars to compete more effectively against rivals like PepsiCo (Frito-Lay) and Mondelez International in the fiercely competitive snack aisle.

Why the Deal Makes Sense

Strategic rationale extends beyond simple portfolio expansion:

Distribution synergies: Mars's global distribution network can accelerate international growth for Kellanova brands, while Kellanova's convenience store presence strengthens Mars's channel coverage.

Innovation capabilities: Combining R&D resources enables faster product development and flavor innovation across categories.

Purchasing power: Larger scale improves negotiating leverage with retailers and suppliers, protecting margins in an inflationary environment.

Private label defense: As store brands gain share, scale helps branded manufacturers compete on value.

The Regulatory Journey

The deal's completion required navigating a complex global regulatory process:

  • August 2024: Deal announced
  • November 2024: Kellanova shareholders approve
  • December 8, 2025: Final regulatory clearance (28 total approvals)
  • December 11, 2025: Transaction closes

The European Commission granted unconditional approval, finding no competitive concerns despite Mars's existing presence in confectionery. Regulators apparently viewed the savory snack and confectionery markets as sufficiently distinct.

What Happens to Kellanova Stock

Following the deal's completion, Kellanova common stock was delisted from the New York Stock Exchange. Shareholders received $83.50 per share in cash—a significant premium to the pre-announcement trading price.

For index investors, the delisting means S&P 500 and other indices will replace Kellanova with another company in coming rebalances.

Integration Challenges Ahead

Despite the strategic logic, large food mergers have a mixed track record. Potential challenges include:

Culture clash: Integrating Kellanova's public company culture with Mars's private, family-owned structure requires careful management.

Brand management: Ensuring marketing investment and innovation continue across a larger portfolio demands discipline.

Talent retention: Key executives and brand managers may depart amid uncertainty.

Execution risk: Capturing projected synergies while maintaining brand momentum is historically difficult.

Consumer Impact

For shoppers, the near-term impact should be minimal. The same products will occupy the same shelf space at similar prices. Over time, consumers might see:

  • Cross-branded products (imagine M&M's Pop-Tarts)
  • Bundled promotions across the portfolio
  • Expanded international availability of Kellanova brands

Whether prices rise as a result of reduced competition remains to be seen—regulators clearly didn't view the deal as creating monopoly power.

The Bigger Picture

The Mars-Kellanova deal reflects ongoing consolidation in consumer packaged goods as companies seek scale advantages in an increasingly challenging retail environment. With private label growing, digital advertising costs rising, and retailer consolidation increasing buyer power, size matters more than ever.

For Mars, a family-owned company since 1911, the acquisition represents confidence in the future of branded snacking—a bet that iconic products with emotional connections will continue commanding premium prices despite competitive pressures.