Heinz Buys Kraft; New Company Becomes North America’s 3rd Largest Food & Beverage Co.

H.J. Heinz Company and Kraft Foods Group, Inc. have announced they will merge to become The Kraft Heinz Company, the third largest food and beverage company in North America.

Warren Buffet’s Berkshire Hathaway and Brazil-based 3G Capital (the owner of Heinz) will invest an additional $10 billion in The Kraft Heinz Company. Under the terms of the agreement, already approved by both Heinz and Kraft’s boards of directors, Kraft shareholders will own a 49% stake in the combined company, and current Heinz shareholders will own 51%.

The new company will have revenues of approximately $28 billion with eight $1+ billion brands and five brands between $500 million-$1 billion. Of note, the new company will sell the Heinz, Kraft, Oscar Mayer, Ore-Ida and Philadelphia brands, to name a few.

The Kraft Heinz Company will be co-headquartered in Pittsburgh and the Chicago area.

See the company press release for more specifics, including dividend numbers, here.


RealAgriculture News Team

A team effort of RealAgriculture's videographers and editorial staff to make sure that you have the latest in what is happening in agriculture.


Wheat prices jump into August — This week in the grain markets

This week, winter wheat prices touched a three-year high, but it didn’t last. Chicago SRW wheat prices for September 2018 gained 5 per cent or about 26 cents US/bushel to close at $5.56. While the December 2018 contract was up 5.4 percent — or nearly 30 cents — to finish a tad under $5.80. In…Read more »


Leave a Reply


This site uses Akismet to reduce spam. Learn how your comment data is processed.