Kraft Foods and Heinz merge after acquisition | RetailDetail

Kraft Foods and Heinz merge after acquisition

Kraft Foods and Heinz merge after acquisition

Brazilian private equity firm 3G Capital and Warren Buffett's Berkshire have acquired American food manufacturer Kraft Foods, which they now will merge with a previous joint purchase, Heinz.

10 billion dollar investment

Kraft Foods shareholders will get 49 % of the newly formed company's shares, called Kraft Heinz, while Heinz shareholders will acquire 51 % of the shares. Berkshire and 3G Capital will also invest another 10 billion dollars (9 billion euro).

 

"This is my kind of transaction, uniting two world-class organizations and delivering shareholder value," Buffett said in the statement. "I’m excited by the opportunities for what this new combined organization will achieve." 3G previously collaborated with Warren Buffett two years ago to acquire ketchup manufacturer Heinz for 23.2 billion dollars (21.2 billion euro).

 

Kraft Foods belonged to Kraft until 2012, which was then split into 2 companies: Mondelez International and Kraft Foods, which mainly focused on the North American market.

 

Jorge Paulo Lemann, 3G Capital's co-founder, is also a large InBev shareholder and a major factor in InBev's Anheuser-Busch acquisition. Financial experts therefore fear that the Kraft investment will lead to a lack of funds to merge AB InBev and SAB Miller.

Questions or comments? Please feel free to contact the editors


Isabel Marant opens first Dutch store

24/05/2018

Fashion brand Isabel Marant opened its very first Dutch boutique in Amsterdam. It is located in the P.C. Hooftstraat, in a former McGregor store.

Zara opens new flagship store with holograms and robots

18/05/2018

Zara’s remodeled flagship store in Stratford (London) welcomes customers with holograms, robot arms and iPad-powered employees. The store wants to unite the best of both the online and offline shopping world.

Komono wants to reach 10 physical stores this year

17/05/2018

Belgian accessory label Komono wants to double its number of physical stores to ten this year. “The stores are important to tell our story”, Anton Janssens and Raf Maes told De Standaard.

Hema has to pay Levi's millions

17/05/2018

Store chain Hema needs to pay a 4.4 million euro fine to jeans brand Levi’s after the latter went to court because Hema applied its V-shaped stitching to its own collection.

Suitsupply suffers losses because of expansion

15/05/2018

Dutch Suitsupply has experienced a decent turnover growth last year, but its net result tumbled below zero because of its huge investments. Nevertheless, that is the only way forward according to its founder, whose focus is still fixed on the United States.

Starting this Friday, Belgium has its own national e-commerce event

15/05/2018

Move over, Black Friday! This week, Belgium launches its own national e-commerce event as Jack & Jones, Kiabi, La Redoute, Sarenza, Tape à l'Oeil and Veritas organise the first Belgian Friday.