WK Kellogg Co KLG shares are skyrocketing in Wednesday’s after-hours session following a report that Ferrero is nearing an offer to get the business.
What To Know: Family-owned Italian sweet business Ferrero is surrounding an offer to get cereal maker WK Kellogg for approximately $3 billion, according to a Wall Street Journal report.
Individuals acquainted with the matter supposedly stated an offer might be finished as quickly as today.
Ferraro continues to target U.S. brand names for prospective acquisitions. The business formerly purchased Wells Enterprises, the owner of a number of ice-cream brand names consisting of Blue Bunny, and gotten Nestlé’s chocolate organization in the U.S.
WK Kellogg was formed as part of a spin-off from Kellogg in 2023. The other part of Kellogg’s snacking organization was gotten by Mars for approximately $36 billion.
WK Kellogg shares have actually struggled to discover any momentum this year after income price quotes disappointed price quotes in the previous 2 quarters.
Last quarter, WK Kellogg missed out on expert price quotes on the leading and bottom lines and reduced its full-year development assistance pointing out weaker-than-expected usage patterns. The business kept in mind that its revised outlook likewise consisted of a modest effect from tariffs.
KLG Rate Action: WK Kellogg shares were up 49.9% in after-hours Wednesday, trading at $26.23 at the time of publication, according to Benzinga Pro.
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