" Kraft Heinz announced in September that it will split into two companies, one focused on faster-growing sauces and condiments and the other on grocery staples. What do you think of this plan?

It isn’t a terrible idea. I never really understood the value of putting Heinz and Kraft together in the first place. There is value in creating a more focused business in sauces and condiments, but I’m confused as to why they added other categories such as macaroni and cheese. I don’t see the synergies there.

If Kellogg’s split-up taught us anything, it’s that value can often come from making a stand-alone business attractive to an acquirer. [Kellogg split into two companies in 2023, both of which were later acquired by other companies.] By making the sauces and condiments business so big [with approximately $15.4 billion in 2024 net sales], they made it harder for an acquirer to come in."

barrons.com - Food stocks pepsico keurig dr pepper kraft heinz