WK Kellogg (KLG) Skyrockets 30.6% as Ferrero Gobbles Up Stake

WK Kellogg Co (NYSE:KLG) is one of the stocks that are flying past expectations.

WK Kellogg rose for a second day on Thursday, soaring 30.63 percent to end at $22.86 apiece following news that it was set to be acquired by The Ferrero Group for $3.1 billion.

In a statement, WK Kellogg Co (NYSE:KLG) said it entered into a definitive agreement under which its shares will be acquired by The Ferrero Group in an all-cash transaction for $23 apiece.

The acquisition, which includes WK Kellogg Co’s (NYSE:KLG) manufacturing, marketing, and distribution of its breakfast cereals portfolio, forms part of Ferrero’s plan for strategic growth and expands the Kellogg brand across more consumption occasions.

“We believe this proposed transaction maximizes value for our shareowners and enables WK Kellogg Co. to write the next chapter of our company’s storied legacy,” said Chairman and CEO Gary Pilnick.

WK Kellogg (KLG) Skyrockets 30.6% as Ferrero Gobbles Up Stake

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“Since becoming an independent public company in October 2023, we have made excellent progress on our journey to become a more focused and more profitable business, driven by our tremendous people and a winning culture, all while building a strong foundation for future growth. Joining Ferrero will provide WK Kellogg Co. with greater resources and more flexibility to grow our iconic brands in this competitive and dynamic market,” he added.

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Disclosure: None. This article is originally published at Insider Monkey.