Kraft Heinz Shares Drop on Rumors of Berkshire Hathaway Selling Near-Entire Stake

Kraft Heinz (KHC) shares fell sharply in early trading as market speculation intensified over Berkshire Hathaway’s potential exit from its stake in the food and beverage giant. The move, if confirmed, would mark a significant shift in investor sentiment, particularly given Berkshire’s long-standing role as a major institutional shareholder since its 2015 acquisition of a controlling interest. Berkshire Hathaway is reportedly considering selling close to 90% of its holdings in Kraft Heinz, which amounts to roughly 150 million shares based on prior disclosure data. The company’s stake, valued at over $13 billion at the time of its peak, has been a cornerstone of Berkshire’s consumer staples portfolio. The potential divestment adds pressure to an already uncertain outlook for KHC, which is in the process of restructuring into two separate public companies: one focused on North American grocery products and the other on global branded snacks and beverages. The split, announced in late 2023 and expected to be finalized by the end of 2024, has drawn scrutiny over execution risks and shareholder value realization. The timing of the potential Berkshire sale—coinciding with the corporate reorganization—has raised concerns about market volatility and reduced demand for KHC equity. Analysts note that such a large-scale exit could trigger forced selling by other institutional investors, amplifying downward pressure on the stock. Investors and financial markets are closely watching how the restructuring unfolds and whether the remaining Berkshire stake will be retained or gradually reduced. The outcome will likely influence long-term confidence in KHC’s strategic direction and its ability to deliver standalone value to shareholders.