Here is a news article: Two of the biggest names in packaged foods—Kraft and Heinz—are merging in a deal orchestrated by Warren Buffett and Brazilian private-equity firm 3G Capital Partners L.P., creating one of the world’s largest food and beverage companies. 
  
 The companies didn’t disclose a value for the deal, but based on Kraft’s market capitalization following the announcement, investors pegged it around $49 billion. 
  
 The combined company, which... ||||| LISTEN TO ARTICLE 7:38 SHARE THIS ARTICLE Facebook Twitter LinkedIn Email 
  
 Kraft Foods Group Inc. will merge with H.J. Heinz in a deal orchestrated by 3G Capital and Warren Buffett’s Berkshire Hathaway Inc., creating the third-largest food and beverage company in North America. 
  
 Kraft shareholders will receive 49 percent of the stock in the combined entity, plus a cash dividend of $16.50 a share, the companies said in a statement Wednesday. Berkshire and 3G will invest $10 billion in the deal, which values Kraft at about $46 billion, before net debt, based on its stock price Tuesday and the cash payment investors will receive. 
  
 The merger creates a stable of household names -- everything from Heinz ketchup to Jell-O -- with revenue of about $28 billion. It also could presage more consolidation in the U.S. food industry, which is struggling to reignite growth. Buffett and 3G, the private-equity firm founded by Brazilian billionaire Jorge Paulo Lemann, previously teamed up to buy Heinz in 2013 and they cut costs, a strategy they aim to repeat with Kraft. 
  
 “3G has squeezed a lot out of Heinz and now they will do the same job at Kraft,” David Turner, an analyst at research firm Mintel, said in an interview. “When Buffett invests in a sector, it gives a sign that the sector is ripe for acquisitions. This will flag up other opportunities.” 
  
 Stock Jumps 
  
 Kraft shares soared 36 percent to close at $83.17 in New York, the biggest one-day gain since the company split from Mondelez International Inc. more than two years ago. That gives Kraft a valuation of about $49 billion. 
  
 The final transaction value is difficult to pin down, though, because Heinz is private and it also remains to be seen at what price the new company’s shares will trade. The combined business, to be called Kraft Heinz Co., will have headquarters in Pittsburgh and the Chicago area, with current Heinz Chief Executive Officer Bernardo Hees staying at the helm. The new entity also will maintain Kraft’s spot as a publicly held company. 
  
 When the current Kraft was spun off in 2012, Mondelez inherited the overseas snack businesses, giving it bigger growth opportunities internationally. Though Kraft kept the name of the original business, it was smaller and relegated to the U.S. market. While Kraft has plenty of iconic brands, including Velveeta and Philadelphia Cream Cheese, the company hasn’t been able to energize sales in a mature industry. 
  
 Overseas Footprint 
  
 The new combined company will be the third-largest food and beverage business in North America based on 2014 sales, behind only PepsiCo Inc. and Nestle SA, according to Heinz. With the merger, Kraft’s products will benefit from Heinz’s presence outside the U.S. The two companies also expect to trim $1.5 billion in annual costs by the end of 2017. 
  
 “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.” 
  
 Alex Behring, chairman of Heinz and the managing partner at 3G Capital, will become chairman of the new company after the closing of the deal, which is expected to happen in the second half of this year. John Cahill, Kraft chairman and CEO, will become vice chairman and run a newly formed operations and strategy committee on the board. A new executive team for the combined global company will be announced during the transition period. 
  
 Younger Consumers 
  
 Kraft management has been in turmoil in recent months. CEO Tony Vernon stepped down in December, with Cahill taking over the job. Brian Yarbrough, an analyst with Edward Jones & Co. in St. Louis, speculated at the time that Vernon was pushed out due to poor performance. The company’s top finance and marketing executives also left in February, and Kraft added the role of chief operating officer. 
  
 Younger consumers in the U.S. have shown a preference for natural and organic ingredients -- something Northfield, Illinois-based Kraft has had to adjust to. In addition, rising commodity prices have squeezed the company, according to Yarbrough. 
  
 The company also had an embarrassing product recall this month after customers found metal pieces in its hallmark Macaroni and Cheese. Kraft recalled 6.5 million boxes of the product. 
  
 After Berkshire Hathaway teamed up with 3G to acquire Heinz two years ago, they helped finance another massive food purchase last year. The 3G-owned Burger King Worldwide Inc. acquired Tim Hortons Inc., a Canadian coffee-and-doughnut chain. That deal raised hackles because it relocated the merged companies headquarters to Canada, a move critics said was aimed at avoiding taxes. 
  
 Target Speculation 
  
 Since those transactions, speculation has simmered about what they’ll buy next. Kellogg Co., Kraft, Mondelez and Campbell Soup Co. were all seen as targets. Buffett stoked the conversation with his annual letter to Berkshire shareholders, saying he expects to “partner with 3G in more activities.” 
  
 Berkshire’s cost for a common equity stake of 320 million shares in the new company will be $9.5 billion, or “a little less than $30 a share,” Buffett told CNBC on Wednesday. That includes the $4.25 billion paid in 2013 for half of Heinz and more than $5 billion for the Kraft transaction, he said. 
  
 “Short term doesn’t make much difference for us because we will be in this stock forever,” Buffett told the business news station. “I like the brands, I like the management, and we will see over time.” 
  
 His company, based in Omaha, Nebraska, also has an $8 billion preferred stake in Heinz that pays dividends of 9 percent a year. 
  
 Pizza Dispute 
  
 Berkshire has been a longtime investor in Kraft, tracing back to a stake in its predecessor company, part of Buffett’s investments in well-known consumer businesses. The billionaire has acquired and held stakes in a range of dominant consumer brands, including Coca-Cola Co. In 2010, he began paring his stake in Kraft Foods Inc. -- the pre-Mondelez business -- after disagreeing with a decision to sell its pizza brands to help pay for a takeover of Cadbury Plc. 
  
 Buffett criticized then-Kraft CEO Irene Rosenfeld for the Cadbury transaction and the sale of the pizza businesses. “Both deals were dumb,” he told Berkshire investors at the time. Berkshire was then the biggest shareholder of Kraft, with a stake valued at $3.3 billion at the end of December 2010. 
  
 Buffett typically looks for targets that have strong brands, simple businesses and consistent earnings power. 
  
 Job Cuts 
  
 3G, meanwhile, is known for slashing costs at its acquisitions and eliminating jobs. Kraft had 22,100 employees at the end of last year, though that number is already down almost 1,000 from two years earlier. 
  
 3G disclosed in a November regulatory filing that it is raising a fourth special-situations fund, without identifying the fund’s size. A person with knowledge of the matter said earlier this year it will be about $5 billion. Kraft will have to pay a termination fee of $1.2 billion if its shareholders don’t approve the deal, according to a filing Wednesday. 
  
 Bankers from Lazard Ltd. advised Heinz, while Cravath, Swaine & Moore and Kirkland & Ellis acted as legal advisers. Centerview Partners LLC served as adviser for Kraft, and Sullivan & Cromwell acted as legal adviser. 
  
 Two years after Buffett and 3G teamed up to take Heinz private, they’ve struck a deal that will once again make the ketchup producer a public company. With Buffett involved, the odds are better than average they’ll make it work, said James Angel, a professor at Georgetown’s McDonough School of Business. 
  
 “It’s got all the hallmarks of a great Warren Buffett deal,” he said. “It’s got two closely related companies, so the synergy story is easy to tell.” |||||
A summary of this is?
– News that might interest those whose favorite pantry staples are ketchup and mac and cheese: Kraft Foods Group Inc. and H.J. Heinz Co. have announced they will merge in a deal that will create the Kraft Heinz Co.—the third largest food and beverage company on the continent and one that will be No. 5 in the world. Reuters reports Heinz shareholders will own 51% of the new company to Kraft shareholders's 49%. The Wall Street Journal explains the environment for the deal: one in which big-name makers of packaged, processed foods are struggling. To wit, Bloomberg Business notes that Kraft's recent history involves a 2012 spinoff from Mondelez International (which retained Kraft's snack foods) and subsequent difficultly in "[reigniting] sales growth"; top execs have exited since December. The deal will see Warren Buffett’s Berkshire Hathaway and Brazilian private-equity firm 3G Capital acquire Kraft and merge it with Heinz, which the two purchased in 2013. If 3G Capital isn't known to you ... it probably actually is: It acquired Burger King in 2010, and, through Burger King, Tim Hortons last year. The Journal describes 3G as "an acquisitive firm known for buying consumer companies it considers bloated and aggressively slashing costs." The AP reports the boards of both companies have unanimously approved the deal, which is slated to close in the second half of the year. It still needs approval from Kraft shareholders, who will receive stock in the combined company and a special cash dividend of approximately $10 billion, or $16.50 per share.
Här är en nyhetsartikel: Två av de största namnen i paketerade livsmedel – Kroft och Heinz – slås ihop i en affär som arrangeras av Warren Buffett och det brasilianska private equity-företaget 3G Capital Partners L.P., och skapar ett av världens största livsmedels- och dryckesföretag. Företagen avslöjade inte ett värde för affären, men baserat på Krafts börsvärde efter tillkännagivandet, investerare fixed det runt $49 miljarder. Det sammanslagna företaget, som ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Heinz i en affär iscensatt av 3G Capital och Warren Buffetts Berkshire Hathaway Inc., som skapar det tredje största mat- och dryckesföretaget i Nordamerika. Kraft aktieägare kommer att få 49 procent av aktien i det sammanslagna företaget, plus en kontant utdelning på $16,50 per aktie, företagen sade i ett uttalande onsdag. Berkshire och 3G kommer att investera $10 miljarder i affären, som värderar Kraft till cirka $46 miljarder, före nettoskuld, baserat på dess aktiekurs tisdag och kontantbetalning investerare kommer att få. Sammanslagningen skapar ett stall av namn -- allt från Heinz ketchup till Jell-O -- med intäkter på cirka 28 miljarder dollar. Det skulle också kunna presage mer konsolidering i USA: s livsmedelsindustri, som kämpar för att regera tillväxt. Buffett och 3G, det privata aktiebolaget som grundades av den brasilianske miljardären Jorge Paulo Lemann, hade tidigare slagit sig ihop för att köpa Heinz 2013 och de sänkte kostnaderna, en strategi de har som mål att upprepa med Kraft. “3G har pressat mycket ur Heinz och nu kommer de att göra samma jobb på Kraft,” David Turner, en analytiker på forskningsföretaget Mintel, sade i en intervju. – När Buffett investerar i en sektor ger det ett tecken på att sektorn är mogen för förvärv. Detta kommer att flagga upp andra möjligheter.” Stock Jumps Kraft aktier ökade 36 procent för att stänga på $ 83.17 i New York, den största endagsvinsten sedan företaget splittrades från Mondelez International Inc.. mer än två år sedan. Det ger Kraft en värdering på cirka 49 miljarder dollar. Det slutliga transaktionsvärdet är dock svårt att fastställa, eftersom Heinz är privat och det också återstår att se till vilket pris det nya bolagets aktier kommer att handla. Den kombinerade verksamheten, som ska kallas Kraft Heinz Co., kommer att ha huvudkontor i Pittsburgh och Chicagoområdet, med nuvarande Heinz VD Bernardo Hees som stannar vid rodret. Den nya enheten kommer också att behålla Krafts plats som ett offentligt företag. När nuvarande Kraft knoppades av 2012 ärvde Mondelez de utländska snacksföretagen, vilket gav det större tillväxtmöjligheter internationellt. Även om Kraft behöll namnet på den ursprungliga verksamheten, var den mindre och förvisades till den amerikanska marknaden. Kraft har gott om ikoniska varumärken, bland annat Velveeta och Philadelphia Cream Cheese, men företaget har inte kunnat driva försäljningen i en mogen bransch. Overseas Footprint Det nya kombinerade företaget kommer att vara den tredje största livsmedels- och dryckesverksamheten i Nordamerika baserat på 2014 års försäljning, bakom endast PepsiCo Inc. och Nestlé SA, enligt Heinz. Genom sammanslagningen kommer Krafts produkter att gynnas av Heinz närvaro utanför USA. De två företagen räknar också med att trimma $1,5 miljarder i årliga kostnader i slutet av 2017. “Detta är min typ av transaktion, att förena två världsklass organisationer och leverera aktieägarvärde,” Buffett sade i uttalandet. “Jag är glad över möjligheterna för vad denna nya kombinerade organisation kommer att uppnå.” Alex Behring, ordförande i Heinz och verkställande partner på 3G Capital, kommer att bli ordförande i det nya företaget efter stängningen av affären, vilket förväntas ske under andra halvan av detta år. John Cahill, Krafts ordförande och VD, blir vice ordförande och driver en nybildad verksamhets- och strategikommitté i styrelsen. Ett nytt ledningsgrupp för det kombinerade globala bolaget kommer att tillkännages under övergångsperioden. Yngre Konsumenter Krafts ledning har varit i turbulens under de senaste månaderna. VD:n Tony Vernon avgick i december, varvid Cahill tog över jobbet. Brian Yarbrough, en analytiker med Edward Jones & Co. i St Louis, spekulerade vid den tiden att Vernon blev utträngd på grund av dålig prestation. Företagets ledande finans- och marknadschefer lämnade också i februari, och Kraft tillade rollen som verksamhetschef. Yngre konsumenter i USA har visat en preferens för naturliga och ekologiska ingredienser -- något Northfield, Illinois-baserade Kraft har fått anpassa sig till. Dessutom har stigande råvarupriser pressat företaget, enligt Yarbrough. Företaget hade också en pinsam produkt återkalla denna månad efter att kunderna hittade metallbitar i sitt signum Macaroni och Cheese. Kraft återkallade 6,5 miljoner lådor av produkten. Efter att Berkshire Hathaway slog sig ihop med 3G för att förvärva Heinz för två år sedan, hjälpte de till att finansiera ytterligare ett massivt matköp förra året. Den 3G-ägda Burger King Worldwide Inc. förvärvade Tim Hortons Inc., en kanadensisk kaffe- och doughnutkedja. Den affären höjde hackles eftersom det flyttade de sammanslagna företagens huvudkontor till Kanada, en rörelse kritiker sade var inriktad på att undvika skatter. Mål Spekulation Sedan dessa transaktioner, har spekulation sjudat om vad de kommer att köpa härnäst. Kellogg Co., Kraft, Mondelez och Campbell Soup Co. sågs alla som mål. Buffett stoked samtalet med sin årliga brev till Berkshire aktieägare, säger att han förväntar sig att “delta med 3G i mer verksamhet.” Berkshires kostnad för en andel gemensamt kapital på 320 miljoner aktier i det nya företaget kommer att vara $9,5 miljarder, eller “lite mindre än $ 30 per aktie”, Buffett berättade CNBC på onsdag. Det inkluderar de $ 4,25 miljarder som betalades under 2013 för hälften av Heinz och mer än $ 5 miljarder för Kraft transaktionen, sade han. “Kort term gör ingen större skillnad för oss eftersom vi kommer att vara i detta lager för alltid,” Buffett berättade affärsnyheter station. “Jag gillar varumärkena, jag gillar ledningen, och vi kommer att se över tiden.” Hans företag, baserat i Omaha, Nebraska, har också en $ 8 miljarder föredrog andel i Heinz som betalar utdelning på 9 procent per år. Pizza Tvist Berkshire har varit en sedan länge investerare i Kraft, spåra tillbaka till en andel i sitt föregångare företag, en del av Buffetts investeringar i välkända konsumentföretag. Miljardären har förvärvat och innehaft andelar i en rad dominerande konsumentvarumärken, bland annat Coca-Cola Co. 2010 började han parera sin andel i Kraft Foods Inc. -- pre-Mondelez-affären -- efter att ha varit oense med ett beslut att sälja sina pizzamärken för att hjälpa till att betala för ett övertagande av Cadbury Plc. Buffett kritiserade dåvarande-Krafts VD Irene Rosenfeld för Cadburyaffären och försäljningen av pizzaföretagen. "Båda affärerna var dumma," sade han Berkshire investerare på den tiden. Berkshire var då Krafts största aktieägare, med en andel värderad till 3,3 miljarder dollar i slutet av december 2010. Buffett letar vanligtvis efter mål som har starka varumärken, enkla företag och konsekvent resultat makt. Job Cuts 3G, under tiden, är känd för att skära kostnader vid sina förvärv och eliminera jobb. Kraft hade 22.100 anställda i slutet av förra året, men redan nu är antalet nästan 1000 färre än två år tidigare. 3G meddelade i en novemberregelansökan att man samlar in en fjärde specialfond, utan att ange fondens storlek. En person med kunskap om saken sade tidigare i år det kommer att vara omkring $ 5 miljarder. Kraft måste betala en uppsägningsavgift på 1,2 miljarder dollar om aktieägarna inte godkänner affären, enligt en anmälan onsdag. Bankirer från Lazard Ltd. rådgav Heinz, medan Cravath, Swaine & Moore och Kirkland & Ellis agerade juridiska rådgivare. Centerview Partners LLC fungerade som rådgivare för Kraft, och Sullivan & Cromwell fungerade som juridisk rådgivare. Två år efter Buffett och 3G slog sig ihop för att ta Heinz privat, de har gjort en affär som återigen kommer att göra ketchup producenten ett offentligt företag. Med Buffett inblandade, oddsen är bättre än genomsnittet de kommer att få det att fungera, sade James Angel, en professor vid Georgetowns McDonough School of Business. — Det har fått alla kännemärken för en stor Warren Buffett-affär, sade han. “Det har två närbesläktade företag, så synergin historien är lätt att berätta.” ♪ En sammanfattning av detta är?
Here is a news article: Two of the biggest names in packaged foods – Kroft and Heinz – are merged into a deal arranged by Warren Buffett and Brazilian private equity company 3G Capital Partners L.P., creating one of the world's largest food and beverage companies. The companies did not disclose a value to the deal, but based on Kraft's stock market value after the announcement, investors fixed it around $49 billion. 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Power shareholders will receive 49 percent of the share in the merged company, plus a cash dividend of $16.50 per share, the companies said in a statement Wednesday. Berkshire and 3G will invest $10 billion in the deal, which values Kraft at approximately $46 billion, before net debt, based on its share price Tuesday and cash payment investors will receive. The merger creates a stable of names -- ranging from Heinz ketchup to Jell-O -- with revenues of about $28 billion. It could also presage more consolidation in the U.S. food industry, which is struggling to rule growth. Buffett and 3G, the private limited company founded by Brazilian billionaire Jorge Paulo Lemann, had previously teamed up to buy Heinz in 2013 and the reduced costs, a strategy they have as their goal to repeat with Kraft. “3G has been pushing a lot out of Heinz and now they will be doing the same job at Kraft,” David Turner, an analyst at the research company Mintel, said in an interview. “When Buffett invests in a sector, it gives a sign that the sector is ready for acquisition. This will flag up other opportunities.” Stock Jumps Kraft shares increased 36 percent to close at $83.17 in New York City, the biggest one-day win since the company split from Mondelez International Inc. more than two years ago. It gives Kraft a valuation of about $49 billion. However, the final transaction value is difficult to determine, as Heinz is private and it also remains to be seen at what price the new company’s shares will trade. The combined business, to be called Kraft Heinz Co., will have headquarters in Pittsburgh and the Chicago area, with current Heinz CEO Bernardo Hees stopping at the helm. The new entity will also retain Kraft's place as a public company. When current Kraft was spun off in 2012, Mondelez inherited the foreign snack companies, giving it greater growth opportunities internationally. Although Kraft retained the name of the original business, it was smaller and relegated to the US market. Kraft has plenty of iconic brands, including Velveeta and Philadelphia Cream Cheese, but the company has not been able to run the sales in a mature industry. Overseas Footprint The new combined company will be the third largest food and beverage business in North America based on 2014 sales, behind only PepsiCo Inc. and Nestlé SA, according to Heinz. Through the merger, Kraft's products will benefit from Heinz's presence outside the United States. The two companies also expect to trim $1.5 billion in annual costs by the end of 2017. “This is my type of transaction, to unite two world-class organizations and deliver shareholder value,” Buffett said in the statement. “I’m happy about the opportunities for what this new combined organization will achieve.” Alex Behring, chairman of Heinz and executive partner of 3G Capital, will become chairman of the new company after the closing of the deal, which is expected to happen in the second half of this year. John Cahill, Kraft's Chairman and CEO, becomes Vice Chairman and runs a newly formed operations and strategy committee on the Board. A new management team for the combined global company will be announced during the transition period. Younger Consumers Kraft's management has been in turmoil in recent months. CEO Tony Vernon resigned in December, with Cahill taking over the job. Brian Yarbrough, an analyst with Edward Jones & Co. in St. Louis, speculated at the time that Vernon was being squeezed out due to poor performance. The company's leading financial and marketing managers also left in February, and Kraft added the role of operations manager. Younger consumers in the United States have shown a preference for natural and organic ingredients -- something Northfield, Illinois-based Kraft has had to adapt to. In addition, according to Yarbrough, rising raw material prices have pushed the company. The company also had an embarrassing product recall this month after customers found metal pieces in their signature Macaroni and Cheese. Power recalled 6.5 million boxes of the product. After Berkshire Hathaway teamed up with 3G to acquire Heinz two years ago, they helped fund another massive food purchase last year. The 3G-owned Burger King Worldwide Inc. acquired Tim Hortons Inc., a Canadian coffee and doughnut chain. That deal raised the hackles because it moved the merged companies' headquarters to Canada, a movement critic said was focused on avoiding taxes. Goal Speculation Since these transactions, speculation has simmered over what they will buy next. Kellogg Co., Kraft, Mondelez and Campbell Soup Co. were all seen as targets. Buffett stoked the conversation with his annual letter to Berkshire shareholders, saying he expects to “participate with 3G in more business.” Berkshire’s cost of a share of common capital of 320 million shares in the new company will be $9.5 billion, or “a little less than $30 per share”, Buffett told CNBC on Wednesday. It includes the $4.25 billion paid in 2013 for half of Heinz and more than $5 billion for the Kraft transaction, he said. “Short term doesn’t make much difference to us because we’ll be in this warehouse forever,” Buffett told business news station. “I like the brands, I like the management, and we’ll review over time.” His company, based in Omaha, Nebraska, also has a $8 billion preferred stake in Heinz that pays dividends of 9 percent per year. Pizza Dispute Berkshire has been a long-standing investor in Kraft, tracing back to a stake in its predecessor company, part of Buffett's investments in well-known consumer companies. The billionaire has acquired and held shares in a number of dominant consumer brands, including Coca-Cola Co. In 2010, he began paring his stake in Kraft Foods Inc. -- the pre-Mondelez deal -- after disagreeing with a decision to sell his pizza brands to help pay for a takeover of Cadbury Plc. Buffett criticised then-Kraft's CEO Irene Rosenfeld for the Cadbury deal and the sale of the pizza companies. "Both business were stupid," he said Berkshire investors at the time. Berkshire was then Kraft's largest shareholder, with a share valued at $3.3 billion at the end of December 2010. Buffett is usually looking for targets that have strong brands, simple companies and consistent power results. Job Cuts 3G, meanwhile, is known for cutting costs at their acquisitions and eliminating jobs. Kraft had 22,100 employees at the end of last year, but already the number is almost 1000 fewer than two years earlier. 3G announced in a November rule application that it was collecting a fourth special fund, without specifying the size of the fund. A person with knowledge of the matter said earlier this year it will be about $5 billion. Kraft must pay a $1.2 billion termination fee if shareholders do not approve the deal, according to a notification Wednesday. Bankers from Lazard Ltd. advised Heinz, while Cravath, Swaine & Moore and Kirkland & Ellis acted as legal advisers. Centerview Partners LLC served as advisor for Kraft, and Sullivan & Cromwell served as legal advisor. Two years after Buffett and 3G teamed up to take Heinz privately, they have made a deal that will again make the ketchup producer a public company. With Buffett involved, the odds are better than average they will make it work," said James Angel, a professor at Georgetown's McDonough School of Business. “It’s got all the hallmarks of a big Warren Buffett deal,” he said. “It has two related companies, so the synergy history is easy to tell.” ♪ A summary of this is?
– Nyheter som kan intressera dem vars favorit skafferi häftklammer är ketchup och mac and oste: Kraft Foods Group Inc. och H.J. Heinz Co. har meddelat att de kommer att gå samman i en affär som kommer att skapa Kraft Heinz Co. – det tredje största livsmedels- och dryckesföretag på kontinenten och en som kommer att vara No. 5 i verlden. Reuters rapporter Heinz aktieägare kommer att äga 51% av det nya bolaget till Krafts aktieägare 49%. The Wall Street Journal förklarar miljön för affären: en där stora namn tillverkare av förpackade, bearbetade livsmedel kämpar. Bloomberg Business konstaterar att Krafts senaste historia handlar om en avknoppning från 2012 från Mondelez International (som behöll Krafts snacksmat) och därefter svårt i "[reignit] försäljningstillväxt"; toppchefer har lämnat sedan december. I affären kommer Warren Buffetts Berkshire Hathaway och det brasilianska private equity-bolaget 3G Capital att förvärva Kraft och slå samman det med Heinz, som de två köpte 2013. Om 3G Capital inte är känd för dig ... det är förmodligen faktiskt: Det förvärvade Burger King 2010, och, genom Burger King, Tim Hortons förra året. Tidskriften beskriver 3G som "ett förvärvsföretag som är känt för att köpa konsumentföretag som den anser vara uppsvällda och aggressivt minskande kostnader." AP rapporterar att styrelserna i båda bolagen enhälligt har godkänt affären, som beräknas avslutas under andra halvåret. Det behöver fortfarande godkännande från Kraft aktieägare, som kommer att få aktier i det kombinerade bolaget och en särskild kontant utdelning på cirka $ 10 miljarder, eller $ 16,50 per aktie.
– News that may interest those whose favorite pantry staples are ketchup and mac and cheese: Kraft Foods Group Inc. and H.J. Heinz Co. has announced that they will merge in a deal that will create Kraft Heinz Co. – the third largest food and beverage company on the continent and one that will be No. Five in the world. Reuters reports Heinz shareholders will own 51% of the new company to Kraft shareholders 49%. The Wall Street Journal explains the environment to the store: one where big name manufacturers of packaged, processed foods struggle. Bloomberg Business notes that Kraft's recent history is about a 2012 spin-off from Mondelez International (which retained Kraft's snack food) and then difficult in "[reignit] sales growth"; top executives have left since December. In the deal, Warren Buffett's Berkshire Hathaway and Brazilian private equity company 3G Capital will acquire Kraft and merge it with Heinz, which the two purchased in 2013. If 3G Capital is not known to you...it's probably actually: It acquired Burger King in 2010, and, through Burger King, Tim Hortons last year. The journal describes 3G as "an acquisition company known to buy consumer businesses that it considers to be bloated and aggressively reducing costs." AP reports that the boards of both companies have unanimously approved the transaction, which is expected to close during the second half of the year. It still needs approval from Kraft shareholders, who will receive shares in the combined company and a special cash dividend of approximately $10 billion, or $16.50 per share.