Kraft Foods Group Inc. and H.J. Heinz Co. have agreed to merge in a move to create the fifth largest food and beverage company in the world.

The combined company, which will be called The Kraft Heinz Co., will have revenue of $28 billion.

Warren Buffett's Berkshire Hathaway and private-equity firm 3G Capital will invest $10 billion in the new company.

Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com

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