Kraft Heinz, the leading US food and drink firm, has entered into an agreement to sell its natural, grated, cultured, and specialty cheese businesses to a US affiliate of French dairy giant Lactalis for $3.2 billion.
The transaction, which is expected to be finished in the first half of 2021, includes Kraft Heinz’s natural, grated, cultured, and specialty cheese businesses in the US, grated cheese business in Canada, and the entire international cheese business in other countries including brands such Breakstone’s, Knudsen, Polly-O, Athenos, Hoffman’s, and Cracker Barrel.
“We believe these cheese and dairy businesses will thrive in the hands of a global dairy company like Groupe Lactalis”, said Kraft Heinz CEO Miguel Patricio. “At the same time, the transaction will enable us to build sustainable competitive advantage in businesses where we have stronger brand equity, greater growth prospects and can use our manufacturing scale and consumer-based platforms approach. This is a great example of agile portfolio management at work”.
Source: Kraft Heinz