Heinz buying Kraft in deal to create food giant worth $60B

H.J. Heinz Co. is buying Kraft Foods Group Inc. in a deal to make one of the largest food services companies in the world.

The deal was engineered by Heinz's owner, the Brazilian investment firm 3G Capital, and billionaire investor Warren Buffett's Berkshire Hathaway. 3G Capital is the company behind the takeover of Tim Hortons by Burger King last year.

The combined company would have revenues of $28 billion US a year, enough to make it the fifth-largest food company in the world.

Publicly traded Kraft has a market cap of $36 billion. When it was taken private in 2013 by 3G and Berkshire, Heinz was valued at $23 billion, which suggests the total value of the combined company could be as much as $60 billion.

Heinz shareholders will be majority owners of the merged company and Kraft shareholders will receive stock in the combined company and a special cash dividend of approximately $10 billion US, or $16.50 per share.

Kraft shares closed on Tuesday at $61.33 and rose by about 25 per cent to $77.02 in pre-market trading after the deal was announced.

Current Heinz shareholders will own 51 per cent of the combined company, with Kraft shareholders owning 49 per cent.

The combined company's brands will include Kraft, Heinz, Oscar Mayer and others.

Both companies' boards have unanimously approved the deal, which is targeted to close in the second half of the year. It still needs approval from Kraft shareholders.

Anda sedang membaca artikel tentang

Heinz buying Kraft in deal to create food giant worth $60B

Dengan url

http://belajarbisnismen.blogspot.com/2015/03/heinz-buying-kraft-in-deal-to-create.html

Anda boleh menyebar luaskannya atau mengcopy paste-nya

Heinz buying Kraft in deal to create food giant worth $60B

namun jangan lupa untuk meletakkan link

Heinz buying Kraft in deal to create food giant worth $60B

sebagai sumbernya