The Italian maker of Ferrero Rocher, Tic Tac, Nutella and Kinder Joy has signed a deal worth $1.3 billion to acquire the manufacturer of Lemonheads and Red Hots, according to media reports.
The family-controlled company will maintain its newest acquisition as a separate unit and retain headquarters in Oakbrook Terrace. Ferrero, the world’s fourth largest confectioner ranks sixth in the US when it comes to market share.
Ferrero is reportedly considering purchasing Nestle US to further strengthen its position in the US market, giving the company the third largest market share in the US. Earlier in 2017, Nestlé offered its Butterfinger and Baby Ruth units up for sale and has reportedly received bids ranging from $2 billion to $2.5 billion. A Nestle acquisition could boost Ferrero to the number 3 spot in the US market.
Ferrero is reported to introduce Tic Tac gum and the European favorite Kinder Joy to the US markets in January 2018.