In a $1.3 billion cash deal, Kellogg has announced it is selling its Keebler, Famous Amos and other snack brands to Ferrero, which owns the Nutella label.
Kellogg recorded about $13.5 billion in sales last year, reports CBS News. Its cookie business, which includes Keebler, Mother’s, Famous Amos and Murray’s, generated about $900 million.
As part of the deal, Italy-based Ferrero also picks up production facilities in Georgia, Kentucky, Washington and Illinois, representing a significant expansion of its U.S. presence.
The transaction is expected to close by the end of July.