Kraft Heinz to sell natural cheese business to Lactalis
Kraft Heinz told investors Tuesday they will sell much of its natural cheese business to France-based Lactalis. The deal brings Kraft Heinz 3.2 billion dollars for shredded and block cheese, Breakstone’s cottage cheese, and the Cracker Barrel brand.
Kraft Heinz CEO Miguel Patricio made the move with the blessing of the board of directors to refocus investments on stronger brands, cut costs and reduce debt. The board includes two members of investor Warren Buffett’s Berkshire Hathaway, which has a 26% stake in the food giant.
Kraft Heinz will hang onto Philadelphia Cream Cheese, and processed products including Kraft singles.