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WSJ: Kraft Heinz to Split Into Two Public Companies

Analysts say a breakup could sharpen focus, lifting profitability after weak quarters.

Overview

  • The Wall Street Journal reported that Kraft Heinz has decided to separate into two listed firms, a move not yet detailed by the company.
  • One company would contain the grocery and broader food portfolio, while the other would hold higher‑margin sauces and spices, including Heinz Ketchup.
  • The reported rationale centers on unlocking shareholder value and giving each business greater operating flexibility.
  • Kraft Heinz recently posted adjusted earnings of $0.69 per share, a 1.9% revenue decline year on year, and a $9.3 billion impairment.
  • The share price in German trading rose briefly on the report after gains late last week, as investor pressure intensified following Berkshire Hathaway write-downs and Warren Buffett’s May board exit.