Heinz Shareholders Meet on Apr 30 - Analyst Blog
April 01 2013 - 1:00PM
Zacks
H.J. Heinz Company (HNZ) announced Apr 30, 2013
as the scheduled date for a special shareholder meeting to vote on
its pending sale to 3G Capital and Berkshire Hathaway,
Inc. (BRK.B).
In mid-Feb 2013, Heinz agreed to be acquired by an investment
group led by Warren Buffet’s Berkshire Hathaway and private
Brazilian investment firm 3G Capital for $28 billion, including
debt.
At the special meeting to be held in New York, shareholders of
record as of Mar 18, 2013 will be eligible to vote. Moreover, HNZ
also announced early termination of the Hart-Scott-Rodino waiting
period, thus satisfying an important criterion for closure of the
transaction. In addition to shareholders’ approval at the special
meeting, the transaction remains subject to some other customary
closing conditions and regulatory approvals.
As per the terms of the pending merger, Heinz’s shareholders
will receive $72.50 per share, a 19% premium to its all-time high
share price. The transaction is expected to be closed either by
second quarter end or in the third quarter of this calendar year.
Heinz will become a private company after the completion of the
acquisition.
Berkshire Hathaway, led by Warren Buffett, owns leading
businesses across a variety of industries while 3G Capital is a
global investment firm holding stake in companies like fast food
chain, Burger King Worldwide, Inc (BKW).
Both Berkshire Hathaway and 3G Capital are known to invest in
iconic businesses and brands and broaden them further. Heinz has a
robust global portfolio of leading brands, which focuses on 3
attractive and growing food categories: ketchup and sauces, meals
and snacks, and infant/nutrition.
The company’s largest and fastest-growing product category is
ketchup and sauces led by Heinz, the iconic #1 ketchup brand. The
investment firms are acquiring Heinz from a strong position where
it is consistently delivering solid organic growth, showing
continued and strong improvement in the emerging markets, making
robust marketing investments, continuously innovating and saving
costs aggressively.
Heinz carries a Zacks Rank #3. Another food company that has
been doing well consistently is ConAgra Foods, Inc
(CAG) – Zacks Rank #2 (Buy).
BURGER KING WWD (BKW): Free Stock Analysis Report
BERKSHIRE HTH-B (BRK.B): Free Stock Analysis Report
CONAGRA FOODS (CAG): Free Stock Analysis Report
HEINZ (HJ) CO (HNZ): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
Heinz H J (NYSE:HNZ)
Historical Stock Chart
From Jun 2024 to Jul 2024
Heinz H J (NYSE:HNZ)
Historical Stock Chart
From Jul 2023 to Jul 2024