First they merged in 2015. Now Kraft-Heinz has announced plans to split into two separate companies by the second half of next year.
One company which will be named North American Grocery Co. will take over the meat, cheese and prepared foods products. Those now garner about $10 billion a year in sales.
The other company, Global Taste Elevation Inc., will take over sauces, spreads and shelf-stable meals sold under brand names such as Heinz, Philadelphia and Kraft Mac and Cheese.
Earlier this summer, Warren Buffet took a second major write-down on the value of Kraft-Heinz shares. He wrote off $3 billion in 2019, five years after he bought about 27.5 per cent of the company’s shares and another $3.8 billion this August.
Buffet said during an interview with MSNBC that he is disappointed about the planned split.