Sweet deal: Mars buys out Warren Buffett's shares in Wrigley

Mars Chocolate, maker of Snickers, M&Ms and several other well-known chocolate bars, announced Thursday it would take full control of Wrigley, known for chewing gum and chewy fruit candies.

The companies with "century-long heritages" in the confectionery market will combine to form Mars Wrigley Confectionery, the privately held Mars said in a news release.

Mars, the world's largest maker of sweets, will buy the shares of Wrigley that it doesn't already own from star investor Warren Buffett's Berkshire Hathaway investment fund.

Berkshire Hathaway helped Mars buy Wrigley for about 23 billion dollars in 2008, and since then it has held a minority stake in Wrigley that has been subject to purchase by Mars.

Financial terms of the deal were not disclosed. According to the Financial Times, Berkshire Hathaway holds 19.4 per cent in Wrigley.

"Mars Wrigley Confectionery brings together two great businesses, strengthening our ability to create win-win relationships with our customers, and improving our opportunities to address dynamic retail and consumer trends together," Martin Radvan, who will lead the new Mars Wrigley Confectionery business, said in the news release.

Mars Wrigley Confectionery's headquarters will be in Chicago. Mars said the two companies would be combined in phases during 2017.

Last update: Thu, 06/10/2016 - 22:10

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