Ferrero International, the company that produces Nutella spread and Ferrero Rocher chocolates, is expected to receive over $18.2 billion in purchase offers following the death of its founder Michele Ferrero, who passed away on Saturday, Business Insider reports.
"Certainly there's more chance of a deal now than there was before; that absolutely must be true," EY global lead analyst Andrew Cosgrove said, according to the site.
"It was widely rumored that no deal would happen until this event."
Despite ongoing competition from companies like Mondelez International, Hershey and Nestle, Ferrero International continues to receive millions in profits, making it one of the strongest companies in the packaged food industry.
The 69-year-old company, based in Piedmont, Italy, has received offers from Nestle and Cadbury in past years, but has largely acted cautiously and secretively.
However, some within the company believe a new deal with Nestle is likely, now more than ever, given the death of Michele Ferrero and expected structural changes to the company's leadership.
"The idea of a tie-up with Nestle could come back," a Ferrero manager told Reuters on condition of anonymity. "Giovanni (Ferrero, the CEO) always says the company is big but does not have critical mass to really be an international player, so sooner or later he could announce an acquisition. It was the father who blocked everything."
The company was founded in 1946 by Pietro Ferrero and is known as the biggest chocolate producer in the world.
