Kraft-Heinz and Unilever had a significant merger planned; but two days after the news broke publicly, Kraft-Heinz withdrew.
Unilever includes major brands such as, but not limited to: Dove, Lipton and Hellman’s. Kraft Heinz includes Oscar Meyer, Capri Sun, Planters and many more brands. The $143 billion merger would have been huge for both companies, amounting to $82 billion in sales, according to Fox Business.
Despite Unilever rejecting the opportunity on Friday, Kraft had plans to continue pursuing the agreement, but it canceled those plans Feb. 19. According to CNN, Kraft spokesman, Michael Mullen, said that the announcement to the public was made very early and that the best thing to do is to step away as soon as they can to continue and grow individually as a company.
Unilever made a $1 billion purchase of Dollar Shave Club last year and may still look for growth. Kraft wanted to expand globally, but this merger would have been monitored under the United Kingdom’s regulations.
According to Fox Business, Theresa May, prime minister of the U.K., said she wants the proposal looked over just in case it would have been a threat to the economy.
According to CNN Money, this merger would have been at the top of the list of food and beverage mergers. Many are wondering if Kraft will look at other companies to buy.
Some predict that Berkshire Hathaway and Kraft Heinz will do another deal, after Hathaway bought Heinz in 2013. According to the New York Times, despite the cancellation, both companies said they respect each other and their cultures.