Kraft Heinz sells North American coffee division / Transaction valued at $650 million

U.S. group Kraft Heinz announced Wednesday the sale of its North American coffee division to investment fund One Rock Capital Partners in a transaction valued at $650 million. The deal is part of the company’s turnaround plan, which aims to reduce debt and focus resources on its core brands.

The business includes the Maxwell House and Gevalia brands and is expected to be completed in mid-2027. Kraft Heinz will retain a 30% minority stake, without control rights. The company expects to receive approximately $500 million after taxes, with the funds directed toward debt reduction.

Chief Executive Officer Steve Cahillane said the sale would accelerate the group’s transformation. He suspended plans to split Kraft Heinz into two entities and instead launched a turnaround program involving $700 million in investments to develop the business and strengthen priority brands.

On the same day, the company reported quarterly results above expectations and improved its outlook for 2026. Kraft Heinz now estimates a decline in organic net sales of between 0.5% and 1.25%, compared with up to 2% previously. The group’s shares rose by approximately 5% in Wednesday trading.