Kellogg Company (NYSE:K) completed the acquisition of The Egyptian Company for Foods.
January 10, 2015 at 11:00 pm EST
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Kellogg Company (NYSE:K) made a bid to acquire The Egyptian Company for Foods (CASE:BISM) on August 31, 2014. Kellogg asked Bisco Misr's shareholders jointly owning just above 56% of the company's shares permission to conduct due diligence with the intention of making a mandatory purchase offer for a minimum of 51% of Bisco Misr's shares. Kellogg has 60 days from August 28 to conduct the due diligence process with the understanding that it would decide if it wants to make an offer within the following 5 days. Bisco Misr's Board of Directors has approved the due diligence to be conducted.
As of November 20, 2014 Kellogg completed its due diligence study and Egyptian Company for Foods SAE receives mandatory tender offer from Kellogg Company to acquire 51%. As announced on November 26, 2014, the Egyptian Financial Supervisory Authority approved Kellogg Co's plan to start a mandatory tender offer. Kellogg Company (NYSE:K) raised a bid to acquire The Egyptian Company for Foods (CASE:BISM) for approximately $130 million on December 1, 2014. Under the terms, Kellogg Company will acquire 11.5 million shares for $11.5 per share. As of December 18, 2014, Kellogg Company further revised its bid for The Egyptian Company for Foods to EGP 86.36 ($12.04) per share and will pay approximately $140 million as consideration. As on December 31, 2014, Kellogg Company further revised its bid for The Egyptian Company for Foods to $12.53 per share. As of January 6, 2015, The Egyptian Company for Foods shareholder approved the deal. Ernst & Young acted as financial advisor for Kellogg Company and provided due diligence. The currency conversion was done through www.oanda.com.
Kellogg Company (NYSE:K) completed the acquisition of The Egyptian Company for Foods (CASE:BISM) on January 11, 2015. At the close of the Mandatory Tender Offer process 85.93% stake was acquired. The final transfer of the shares to Kellogg, expected to be on or around January 18, 2015. The acquisition was funded with short-term debt.
Kellanova (formerly Kellogg Company) is the world leader of the production and the marketing of cereal for breakfast. Net sales (not including sold divisions) break down by family products as follows:
- snacks (61.8%): biscuits, pastries, cereal bars, waffles, etc. sold under the Kellogg's, Cheez-It, Pringles, Austin, Parati and RXBAR brands;
- cereals (20.9%): Sucrilhos, Zucaritas, Kellogg's Extra, Müsli, Choco Krispis, Coco Pops, Choco Krispies, Frosties, Fruit'n Fibre, Kellogg's Crunchy Nut, Krave, Kellogg's Extra, Country Store, Smacks, Pops, Honey Bsss, Zimmy's, Toppas, Tresor, Froot Ring, Chocos, Chex, Guardian, Just Right, Sultana Bran, Frosties and other brands;
- frozen products (8.3%): Eggo and Morningstar Farms brands;
- other (9%): primarily noodles.
As of February 20, 2024, the group had 21 production sites worldwide.
Net sales break down geographically as follows: North America (50.1%), Asia/Middle East/Africa (21.2%), Europe (19.1%) and Latin America (9.6%).
In October 2023, completed the separation of its North America cereal business.
KELLANOVA 
