Kellogg completes £1.8bn Pringles deal with P&G

Kellogg has concluded its $2.7bn (£1.8bn) deal with P&G to acquire Pringles, a deal that makes the company the second biggest player in the savoury snacks market by sales.

Pringles

The acquisition, which was first announced in February marks the latest stage in the company’s bid to expand its global footprint in the snack market.

Pringles will sit alongside brands including Keebler, Cheez-It and Special K cracker chips within its savoury snacks portfolio, and the company will look to grow the brand’s presence in emerging markets such as Asia and India.

John Bryant, Kellogg Company’s president and chief executive, says: “The addition of Pringles to our portfolio significantly advances the company’s strategic goal of building a global snacks business on par with our global cereal business, and expanding our global footprint.”

The acquisition will move Pringles 1,700 employees to Kellogg including marketing and executive teams.

Pringles is said to be the world’s second biggest savoury snack with sales of $1.5bn (£981m) in more than 140 countries. It is Kellogg’s second largest brand now after Special K by sales.

The deal comes as P&G looks to leave the food business to focus on its FMCG products. It had previously been in talks to sell the Pringles brand to Diamond Foods, but negotiations broke down following the announcement that Diamond was to restate its accounts.

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