Heinz is nearing total privatization. In an announcement, Heinz shareholders approved the acquisition by Berkshire Hathaway and 3G Capital. Berkshire is owned by investment icon Warren Buffett while 3G Capital owns Burger King.
The firms have confirmed that Berkshire will act as financing partner while 3G would run the company. 3G Capital is well known in the industry as a company that undertakes aggressive cost cutting. The deal is still subject to regulatory approval.
In early April, HJ Heinz Co appointed Bernando Hees, Burger King CEO and partner at 3G Capital as the company CEO upon completion of the acquisition. Hees will replace William Johnson, the Heinz CEO for the past fifteen years.
Heinz said that 95% of the votes cast approved the acquisition during the special meeting voting in favor of the merger. The merger represents 60% of the common stock outstanding as of March 28, 2013, the recorded date for the meeting.
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