Mars Locks In Biggest Bridge Loan of Year for Kellanova Buy

  • JPMorgan and Citi providing $29 billion financing for the deal
  • Biggest M&A debt financing since Broadcom’s deal for VMWare
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Mars Inc. has lined up the biggest blue-chip debt financing for a merger and acquisition in nearly a year to help finance its $36 billion purchase of Kellanova.

The packaged food manufacturer inked a $29 billion bridge loan, short-term debt used to help fund acquisitions that is later replaced by longer-term, less expensive corporate bonds, according to a filing. JPMorgan Chase & Co. and Citigroup Inc. are providing committed debt financing for the deal.