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European regulators are poised to launch an antitrust investigation into Mars’s $35.9bn acquisition of Pringles and Pop-Tarts maker Kellanova, according to people briefed on the decision.
The privately held conglomerate’s agreement to buy its US rival was one of last year’s biggest M&A deals.
Mars, known for sugary snacks such as M&M’s, Snickers and Skittles, had not offered remedies to address European Commission concerns about high market shares identified in a preliminary review of the acquisition, the people said.
Poul Weihrauch, chief executive of Mars, which is one of the world’s largest family-owned businesses, previously said he did not anticipate major regulatory scrutiny because the Mars and Kellanova businesses were complementary.
Kellanova, which also makes Cheez-It crackers, Rice Krispies Treats and Eggo waffles, was created in 2023 after Kellogg separated its breakfast cereals and snacks businesses.
The deal is one of the biggest in the food sector — which has suffered from consumer spending cuts — in several years.
The commission declined to comment. Mars and Kellanova did not immediately respond to a request for comment.
The potential investigation was first reported by Reuters.
Additional reporting by Madeleine Speed in London
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