"Yesterday, Kraft Heinz ( ) revealed in an SEC filing a prospectus supplement registering the potential resale of up to 325.4 million shares held by Berkshire Hathaway, representing its entire 27.5% stake in the company. The filing does not confirm an immediate sale but enables Berkshire to divest if it chooses. Despite Buffett once labeling the Kraft Heinz investment a "mistake," he retained the shares until now."
"Berkshire Hathaway's involvement with Kraft Heinz dates back over a decade. In 2013, Buffett partnered with private equity firm 3G Capital to acquire H.J. Heinz for $23 billion. This set the stage for a larger deal in 2015, when Berkshire and 3G orchestrated the $46 billion merger of Heinz with Kraft Foods Group, creating Kraft Heinz as a combined entity with iconic brands like Heinz ketchup, Kraft Mac & Cheese, and Oscar Mayer."
Greg Abel has assumed the role of CEO of Berkshire Hathaway. Kraft Heinz filed an SEC prospectus supplement registering potential resale of up to 325.4 million shares held by Berkshire, representing its entire 27.5% stake; the filing permits divestment but does not confirm an immediate sale. Berkshire's stake traces to a 2013 partnership with 3G Capital to acquire H.J. Heinz for $23 billion and a 2015 $46 billion merger combining Heinz with Kraft Foods Group. The merger pursued scale-driven cost synergies and brand leverage. Subsequent challenges included shifting consumer preferences toward healthier options and aggressive cost-cutting that hindered innovation. Buffett later acknowledged overpaying for Kraft Heinz.
Read at 24/7 Wall St.
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