Kraft Heinz to split into two companies

Kraft Heinz will be divided into two companies, reverse most of the blockbuster 46 billion dollars of mergers Since the decade, it created one of the largest food companies in the world.

The first of the two new companies, which are not yet appointed, primarily includes stable meals of stable shelves and will be home to brands such as Heinz, Philadelphia and Kraft Mac and Sir. Kraft Heinz said that the company would independently have $ 15.4 billion in 2024. Net sales, and approximately 75% of this sale would come from sauces, spreading and spices.

Kraft Heinz said the second new company would be “Oslagned Portfolio of North America” ​​and involved cases such as Oscar Maier, Kraft Singles and Lunch. That company will have approximately $ 10.4 billion in sales of 2024. Years.

Brands “Kraft Heinza are iconic and loved ones, but the complexity of our current structure, the priority of the initiative and the initiative in our most promicent patricio, the executive chairman of the Craft Heinz Committee. “By separating in two companies, we can single out the right level of attention and resources to unlock the potential of each brand for better performance and creating a long-term shareholder value.”

The agreement that created Kraft Heinz in 2015 years was the Brainchild of Warren Buffett Berkshire Hathavai and private capital firm 3G Capital. While investors originally divorced the merger, the chandelier began to fade as the combined American sale of the company decayed.

Then he came Detection of February 2019 That Kraft Heinz received a court position from the Securities Commission and a substitute relating to his accounting policies and internal control. The company also reduced its dividend by 36% and wrote down $ 15.4 billion in Kraft and Oscar Maier, two of its greatest brands. Days later, Buffett said CNBC that he had Berkshire Hathaway overpaid For strength.

It followed that the bore for leadership and more write-offs of iconic brands, such as Maxwell House and Velway. Kraft Heinz also began to accidents from its businesses, sold out Most units of cheese to French dairy gigants and his dairies and her Nuts divisionincluding a branding plant, on Hormel.

In recent fourths, companies have been invested in strengthening some of their brands, such as lunch and Capri Sun. Despite reversible efforts, the shares of Kraft Heinza, are approximately 60% of the merger in 2015. Years.

Split comes as many large food companies continue to break off from slower and growth categories and re-impress investors.

In August, Neat Dr. Paprika Announced that it would be canceled in 2018. year, which connected a coffee company with 7 own owner. Keurig Dr Paprika plans to separate After closing its Acquisition of $ 18 billion Dutch Cafe JDE Peet’s. And two years ago, Kellogg bounce His snacks operates in Kellanov and was renamed as VK Kellogg.

– CNBC’s Michele Luhn contributed to this report.