Warren Buffett’s Disappointment as Ketchup Runs One Way, Kraft Singles Another
Kraft Heinz splits into two as shifting consumer tastes force a rethink of the 2015 megamerger.
Editorial Team (ET)April 3, 2026
Ten years ago, Kraft and Heinz joined forces to create one of the largest food manufacturers on the planet. The marriage of Heinz ketchup with Kraft Mac & Cheese was supposed to be unstoppable, a merger designed to dominate grocery shelves worldwide. Yet a decade later, the union has unraveled. Consumers moved on, choosing fresh, organic, and less processed options, while Kraft Heinz clung to nostalgia and scale. The company is now splitting into two entities, marking the end of a corporate experiment that never lived up to its promise.
The origins of Kraft Heinz’s megamerger trace back to Warren Buffett and 3G Capital. In 2013, they acquired H.J. Heinz for $23 billion, a deal that instantly signaled ambition. Two years later, they orchestrated a merger with Kraft, creating a $28 billion revenue powerhouse. It was hailed as the fifth-largest food and beverage company in the world, and Wall Street was dazzled. The theory was simple: cost cutting plus brand loyalty would drive lasting profits. But theories rarely hold up when tastes shift as quickly as they did in the 2010s.
