Jump to content
House Price Crash Forum

Archived

This topic is now archived and is closed to further replies.

interestrateripoff

Kraft/heinz Merger Announces Significant Synergies = Jobless Recovery?

Recommended Posts

http://www.prnewswire.com/news-releases/hj-heinz-company-and-kraft-foods-group-sign-definitive-merger-agreement-to-form-the-kraft-heinz-company-300055709.html

The proposed merger creates substantial value for Kraft shareholders. The special cash dividend payment represents 27% of Kraft's closing price as of March 24, 2015. Also, by continuing to own shares of the new combined company, Kraft shareholders will have the opportunity to participate in the new company's long-term value creation potential.

Global Brand Portfolio Powerhouse

The combination of these iconic food companies joins together two portfolios of beloved brands, including Heinz, Kraft, Oscar Mayer, Ore-Ida and Philadelphia. Together the new company will have eight $1+ billion brands and five brands between $500 million and $1 billion. The complementary nature of the two brand portfolios presents substantial opportunity for synergies, which will result in increased investments in marketing and innovation.

Alex Behring, Chairman of Heinz and the Managing Partner at 3G Capital, said, "By bringing together these two iconic companies through this transaction, we are creating a strong platform for both U.S. and international growth. Our combined brands and businesses mean increased scale and relevance both in the U.S. and internationally. We have the utmost respect for the Kraft business and its employees, and greatly look forward to working together as we integrate the two companies."

Warren Buffett, Chairman and CEO of Berkshire Hathaway said, "I am delighted to play a part in bringing these two winning companies and their iconic brands together. This is my kind of transaction, uniting two world-class organizations and delivering shareholder value. I'm excited by the opportunities for what this new combined organization will achieve."

The proposed merger creates significant profits for the bankers involved and significant job losses for employees of these firms?

Is this mega merger really going to provide shareholder value? I've been reading that most mergers don't in this respect.

Still I'm sure all of those about to be a synergy will appreciate the dole queue.

Share this post


Link to post
Share on other sites

http://www.prnewswire.com/news-releases/hj-heinz-company-and-kraft-foods-group-sign-definitive-merger-agreement-to-form-the-kraft-heinz-company-300055709.html

The proposed merger creates significant profits for the bankers involved and significant job losses for employees of these firms?

Is this mega merger really going to provide shareholder value? I've been reading that most mergers don't in this respect.

Still I'm sure all of those about to be a synergy will appreciate the dole queue.

Buffet and Kerry making out like bandits. Don't they have enough money already?

Share this post


Link to post
Share on other sites
Is this mega merger really going to provide shareholder value? I've been reading that most mergers don't in this respect.

Buffet himself usually says the same thing.

In truth they may be big brands but theres precious little "food" in any of them

Significant synergy opportunities with strong platform for organic growth in North America, as well as global expansion, by combining Kraft's brands with Heinz's international platform.

So what sort of mash ups can we expect?

Cadbury chocolate coated baked beans? Spaghetti hoop creme eggs?

Share this post


Link to post
Share on other sites

http://www.prnewswire.com/news-releases/hj-heinz-company-and-kraft-foods-group-sign-definitive-merger-agreement-to-form-the-kraft-heinz-company-300055709.html

The proposed merger creates significant profits for the bankers involved and significant job losses for employees of these firms?

Is this mega merger really going to provide shareholder value? I've been reading that most mergers don't in this respect.

Still I'm sure all of those about to be a synergy will appreciate the dole queue.

Heinz has about 2500 employees in the UK.

Kraft bought Cadbury but then spun it off as part of a new company Mondelez in 2012. I am not sure if the latter is included in this merger.

Share this post


Link to post
Share on other sites

Heinz has about 2500 employees in the UK.

Kraft bought Cadbury but then spun it off as part of a new company Mondelez in 2012. I am not sure if the latter is included in this merger.

Doesn't look like it. Apparently the new conglomerate will be 5th largest in the world - in 2nd place is Mondelez International.

Share this post


Link to post
Share on other sites

If I could think about starting up a factory which you put oil, filler stuff, chemicals, and flavourings through an extruder, then chop it up, and make it into different shapes, call it "food". I'd be making a fortune.

Share this post


Link to post
Share on other sites

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   212 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.