Mr. Buffett is teaming up with 3G Capital Management, a Brazilian investment firm that owns a majority stake in a company whose business is complementary to Heinz’s: Burger King.
Under the terms of the deal, Berkshire and 3G will pay $72.50 a share, about 20 percent above Heinz’s closing price on Wednesday. Including debt, the transaction is valued at $28 billion.
The food company’s headquarters will remain in Pittsburgh, Heinz’s home for over 120 years.
Heinz was advised by Centerview Partners, Bank of America Merrill Lynch and the law firm Davis Polk & Wardwell. A transaction committee of the company’s board was advised by Moelis & Company and Wachtell, Lipton, Rosen & Katz.