On Monday, Mondelez International said that it would buy Clif Bar & Company for $2.9 billion, in a bid to expand its snack bar business around the world. The company is known for its products under the Cadbury brand and more while its future acquisition is known for brands such as Clif, Luna and Clif Kid energy bars. The deal is expected to close in Q3.

Mondelez stock rose in pre-market trading after it announced the news of buying the American energy bar company. The international food and beverage giant did not comment on how it will acquire the U.S. snack company. However, analysts say that it could use divesture of other brands and monetizing coffee assets. Mondelez has been in a buying spree from 2018 and has made nine acquisitions, since. It is shaping its brand portfolio for long term growth.

Mondelez is the manufacturer of not only Cadbury but other popular food and snack brands including Toblerone, Oreo, Chip Ahoy, Honey Maid, Ritz, Trident and Tang. It said that Clif Bar & Company products would continue to be manufactured at both Twin Falls, Idaho as well as Indianapolis, Indiana. However, it will make cost synergies for distributing Clif’s products in a global scale.

Clif Bar & Company was founded by Gary Erickson, more than 20 years ago. Erickson had rejected a offer of $120 million by Quaker Oats, in 2000. However, it seems as if Mondelez has made a correct offer as it has been accepted this time. Erickson stepped down as co-CEO in 2020 but is still on the board.

Clif Bar & Company has remained private through the decades. Pitchfork said that the company had not raised capital since 2002. It has also reported $1 billion in sales. The outlet also reported that Mondelez has bought other brands for billions including Ricolino for about 1 billion and Chipita for about 2 billion. Other brands have been bought by Mondelez for $250 million and more.