The European Commission recently announced that it launched an in-depth investigation into the proposed merger of two global U.S.-based food suppliers Mars Inc. and Kellanova (formerly the Kellogg Company), primary known for selling Pringles brand potato chips. The Commission launched Phase 2 of the investigation on June 25, 2025 to address concerns that Mars’s acquisition of Kellanova could cause consumers in the European Economic Area (“EEA”) to pay higher prices for certain foods, as the merger would enlarge the resulting company’s product portfolio and increase its negotiating power towards retailers. The Commission’s preliminary concerns stem from each company’s strong market position in multiple Member States where, in many cases, their brands are considered must-haves for consumers. In addition, several retailers across the EEA expressed concerns that they could be forced to accept higher prices from Mars and Kellanova products in order to avoid not being able to offer the products in their stores. Retailers fear that many consumers who tend to purchase groceries in a single supermarket could decide to change supermarkets in order to find these products.
According to the Commission, the merging parties were notified of competition concerns on May 16, 2025. They have 90 working days, or until October 31, 2025, to take a decision.