US Heinz, Kraft sign USD40b merging deal

(MENAFN) Heinz, an American food processing company, signed a USD40 billion merger with Kraft, an American grocery manufacturing firm, in a move that sets the way for a consolidation in the food industry, analysts said, The Guardian reported.

The new and improved duo, Heinz and Kraft are set to create the world's fifth largest food company, which will count Heinz's signature ketchup as well as Kraft Mac and Cheese as its top brands in the industry.

"This is a very difficult time to be in the food business as consumers change the way they eat. It seems we will see a number of these mergers as a way to create efficiencies," the chief food industry analyst at market research firm NPD said.