Kraft Heinz Split Plan Meets With Investor Skepticism and Market Turmoil

Kraft Heinz has initiated the most radical restructuring in its history, announcing plans to separate into two distinct publicly traded companies. However, the bold move has been met with severe investor disapproval rather than applause. The market reaction was swift and punishing, with shares plummeting and even the company’s most powerful shareholder, Warren Buffett, expressing his disappointment. The fundamental question now is whether this corporate surgery will lead to a successful turnaround or accelerate the company’s decline.

The announcement triggered an immediate sell-off, sending Kraft Heinz shares down more than 7% and pushing them toward a new 52-week low. The skepticism isn’t unfounded; analysts project that the costs of disentangling the business, known as dis-synergies, could Read more...