Kraft Heinz to sell nuts business to Hormel in $3.35bn deal

Kraft Heinz has agreed to sell its nuts business to Hormel in a $3.35bn cash deal.

The transaction, which is expected to close in the first half of this year, includes most products sold under the Planters brand, including single variety and mixed nuts, trail mix, Nut-rition products, Cheez Balls, and Cheez Curls, as well as Corn Nuts branded products.

It also includes global intellectual property rights to the Planters brand, subject to existing third-party licenses in certain international jurisdictions, and to the Corn Nuts brand.

Heinz chief executive officer Miguel Patricio said: "This is another momentous step in our rapid transformation of Kraft Heinz. It will enable us to sharpen our focus on areas with greater growth prospects and competitive advantage for our powerhouse brands.

"Within our Real Food Snacking platform, this means more aggressively driving real fuel for kids through Lunchables and real meal alternatives like P3."

The deal was announced alongside Heinz’s fourth-quarter results.