PITTSBURGH & CHICAGO--(BUSINESS WIRE)--The Kraft Heinz Company (NASDAQ: KHC) (“Kraft Heinz”) today announced it has completed the sale of Indian brands Complan, Glucon-D, Nycil and Sampriti to Zydus Wellness Limited and its affiliates.
“The sale of this niche business fits into our overall global growth strategy and our focus on investing in and growing brands within our core categories, and where we see a clear path to sustainable competitive advantage,” said Bernardo Hees, Chief Executive Officer of Kraft Heinz.
Under the terms of the agreement, Kraft Heinz sold to Zydus Wellness Limited and an affiliate 100% of its equity shares in Heinz India Private Limited, which is comprised of Complan, Glucon-D, Nycil and Sampriti brands, and two manufacturing facilities, with approximately 760 employees associated with these brands and operations.
ABOUT THE KRAFT HEINZ COMPANY
The Kraft Heinz Company (NASDAQ: KHC) is one of the largest food and beverage companies in the world. A globally trusted producer of delicious foods, The Kraft Heinz Company provides high quality, great taste and nutrition for all eating occasions, whether at home, in restaurants or on the go. The Company’s iconic brands include Kraft, Heinz, ABC, Capri Sun, Classico, Jell-O, Kool-Aid, Lunchables, Maxwell House, Ore-Ida, Oscar Mayer, Philadelphia, Planters, Plasmon, Quero, Smart Ones and Velveeta. The Kraft Heinz Company is dedicated to the sustainable health of our people, our planet and our Company. For more information, visit www.kraftheinzcompany.com.
ABOUT ZYDUS WELLNESS LIMITED
Zydus Wellness Ltd. (ZWL) is the listed entity of the Zydus group and is one of the leading companies in the fast growing Indian consumer health market. The company has grown over the years on the back of pioneering brands like Sugar Free, EverYuth and Nutralite and innovations offering new benefits to consumers. Sugar Free, the flagship brand of Zydus Wellness, launched in 1988, is a sugar substitute that leads the market with dominant market share. ‘Sugar Free’, the largest selling sweetener brand in the country with over 93% market share, has now become more of a lifestyle brand rather than just a sugar substitute for diabetics. The skincare range of products sold under the umbrella brand ‘EverYuth’ has been able to retain its leadership position despite increasing competition and an influx of international brands. ‘Nutralite’, India’s largest selling table spread has gained widespread consumer acceptance as a healthier substitute to butter.
This press release contains a number of forward-looking statements. Words such as “expect,” “invest,” “grow,” “drive,” “continue,” “partner,” “leverage,” “reach,” “complement,” “focus,” “will,” and variations of such words and similar future or conditional expressions are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements regarding Kraft Heinz’s plans, expected benefits of the transaction, investment and growth plans, and impact of the sale. These forward-looking statements are not guarantees of future performance and are subject to a number of risks and uncertainties, many of which are difficult to predict and beyond Kraft Heinz’s control.
Important factors that may affect Kraft Heinz’s business and operations and that may cause actual results to differ materially from those in the forward-looking statements include, but are not limited to, operating in a highly competitive industry; changes in the retail landscape or the loss of key retail customers; Kraft Heinz’s ability to maintain, extend and expand its reputation and brand image; the impacts of Kraft Heinz’s international operations; Kraft Heinz’s ability to leverage its brand value to compete against retailer brands and other economy brands; Kraft Heinz’s ability to predict, identify and interpret changes in consumer preferences and demand; Kraft Heinz’s ability to drive revenue growth in its key product categories, increase its market share or add products; an impairment of the carrying value of goodwill or other indefinite-lived intangible assets; volatility in commodity, energy and other input costs; changes in the Kraft Heinz’s management team or other key personnel; Kraft Heinz’s ability to realize the anticipated benefits from its cost savings initiatives; changes in relationships with significant customers and suppliers; the execution of Kraft Heinz’s international expansion strategy; tax law changes or interpretations; legal claims or other regulatory enforcement actions; product recalls or product liability claims; unanticipated business disruptions; Kraft Heinz’s ability to complete or realize the benefits from potential and completed acquisitions, alliances, divestitures or joint ventures; economic and political conditions in the United States and in various other nations in which we operate; volatility of capital markets and other macroeconomic factors; increased pension, labor and people-related expenses; volatility in the market value of all or a portion of the derivatives we use; exchange rate fluctuations; risks associated with information technology and systems, including service interruptions, misappropriation of data or breaches of security; Kraft Heinz’s ability to protect intellectual property rights; impacts of natural events in the locations in which we or our customers, suppliers or regulators operate; Kraft Heinz’s indebtedness and ability to pay such indebtedness; Kraft Heinz’s ownership structure; the impact of future sales of Kraft Heinz’s common stock in the public markets; Kraft Heinz’s ability to continue to pay a regular dividend; restatements of Kraft Heinz’s consolidated financial statements; and other factors. For additional information on these and other factors that could affect Kraft Heinz’s forward-looking statements, see Kraft Heinz’s risk factors, as they may be amended from time to time, set forth in its filings with the Securities and Exchange Commission. Kraft Heinz disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation.