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March 25, 2015

Kraft Foods to merge with ketchup maker Heinz

Food & Drink Brands
Kraft Reuters/for PhillyVoice

Kraft macaroni and cheese products are seen on the shelf at a grocery store in Washington, May 3, 2012.

Kraft Foods Group Inc. said it would merge with ketchup maker H.J. Heinz Co, owned by 3G Capital and Warren Buffett's Berkshire Hathaway Inc <BRKa.N>, to form the third-largest food and beverage company in North America.

 Kraft shareholders will own a 49 percent stake in the combined company and Heinz shareholders 51 percent.  

Kraft shareholders will receive stock in the combined company and a special cash dividend of $16.50 per share, which will be funded by Berkshire and 3G Capital.