Berkshire CEO backs Kraft Heinz pivot as company pauses split plan
Kraft Heinz’s new CEO moved to pause the company’s planned separation, drawing public support from Berkshire Hathaway CEO Greg Abel — a key signal for a stock widely held by long-term value investors.
## What happened
Kraft Heinz is pausing work on its previously announced plan to separate into two companies, and Berkshire Hathaway CEO Greg Abel publicly supported the move as management refocuses on operational improvements.
## Key details
- Kraft Heinz CEO Steve Cahillane said early reviews suggest the turnaround opportunity is larger than expected and many challenges are fixable.
- The company will pause the separation plan that would have effectively unwound the 2015 Kraft-Heinz merger.
- Berkshire is Kraft Heinz’s largest shareholder, with a roughly 27.5% stake.
- Kraft Heinz shares initially dipped on the news before rebounding by week’s end, per CNBC.
## Market context
The reversal comes after unusually blunt public skepticism from Warren Buffett about the merits of breaking the company apart.
## Why it matters
The decision matters for investors because Berkshire’s stance can influence market confidence in strategic direction and governance. A pause also shifts the narrative from financial engineering toward execution — which can affect earnings expectations, valuation multiples and activist pressure.
---
*Drafted for Kicukiro Tech on 2026-02-14 20:04 UTC. Source link below.*
Source: CNBC