Premarket Plunge: Kraft Heinz (KHC.US) Tumbles Over 7% as Berkshire Hathaway May Offload 27.5% Stake

Stock News
Jan 21

The Kraft Heinz Company (KHC.US) witnessed a sharp decline of over 7% in premarket trading on Wednesday, with its share price dropping to $21.99. This sell-off was triggered by the company's filing of a supplemental registration statement with the SEC. The filing pertains to the potential resale of 325,442,152 shares of its common stock by its major shareholder, Berkshire Hathaway, representing approximately 27.5% of the company's total outstanding shares, which has sparked significant market concern over a major divestment by its largest investor. Notably, as consumers increasingly shift towards healthier dietary options and supermarket private-label brands gain prominence, Kraft Heinz has become one of the worst-performing stocks in the US food sector, with its share price plummeting nearly 70% from its post-restructuring peak in 2017.

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