Mars’ $36 billion Kellanova deal faces EU antitrust investigation, sources say

Mars’ $36 billion bid for Pringles maker Kellanova K.N is set to face a full-scale EU antitrust investigation, people close to the matter said on Wednesday, which could require the candy giant to divest assets to address competition concerns. Kellanova shares fell as much as 3.2% to a 10-month low on the story.

Why it matters

The deal bringing brands from M&Ms and Snickers to Pringles and Pop-Tarts under one roof was announced by Mars in August last year and is among the biggest deals in a sector that has featured a wave of consolidation as companies seek scale to weather the impact of inflation-weary consumers cutting back on spending.