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KHC.US
id: 714

Kraft Heinz (KHC) $450M Shareholder Settlement

It is still possible to file a late claim. The court will decide whether to accept late claims or not.
N.D. Illinois
Court
1:19-cv-01339
Case number
06 Nov 2015
Class period Start
07 Aug 2019
Class period End
10 Oct 2023
Claim deadline
Kraft Heinz (KHC) settles $450 million with Investors.

In 2015, Kraft Foods Group and H.J. Heinz Company merged to form Kraft Heinz, a food and beverage company with a significant presence in the industry. However, in April 2019, a group of investors filed a lawsuit against Kraft Heinz and 3G Capital Partners, a Brazilian private equity firm that held a major stake in the Company, alleging that the companies had misled investors about the company's financial position and growth prospects.

The investors claimed that Kraft Heinz and 3G Capital Partners made false and misleading statements about the sustainability of the company's margins and the success of cost-cutting strategies after the merger. They alleged that the company's organic sales growth was declining and that Kraft Heinz was relying on acquisitions to maintain revenue growth. Furthermore, they claimed that the companies did not disclose the extent to which they were cutting back on marketing and research and development expenses to achieve their profit margins.

After years of litigation, Kraft Heinz and 3G Capital Partners have reached a $450 million settlement agreement with plaintiffs in a class-action lawsuit alleging securities fraud stemming from the 2015 merger of Kraft and Heinz.

Persons entitled to the payout are those who:
  1. Purchased or otherwise acquired Kraft Heinz common stock or call options on Kraft Heinz common stock,
  2. Purchased or otherwise acquired Call Options on Kraft Heinz common stock, or
  3. Sold Put Options on Kraft Heinz common stock,
during the Class Period and were damaged thereby.
Case Status
Accepting Late Claims
Alleged Offence
Misleading Statements
Financial Misrepresentation
Failure to Disclose
Omissions
Suspected Party
Directors
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.62
Plaintiffs
Sjunde AP-Fonden, Union Asset Management Holding AG
Attorneys
Bernstein Litowitz Berger & Grossmann LLP, Kessler Topaz Meltzer & Check, LLP, Wolf Popper LLP
Defendants
Bernardo Hees, Paulo Basilio, David Knopf, Alexandre Behring, George Zoghbi, Rafael Oliveira
Judge
Honorable Jorge L. Alonso
Administrator
JND Legal Administration
Court hearing date
12 September 2023
Exclusion deadline
22 August 2023
Objection deadline
22 August 2023
Hearing deadline
22 August 2023
Trades matching type
FIFO
+$450,000,000
Cash Settlement Amount

Kraft Heinz Co

The Kraft Heinz Company, together with its subsidiaries, manufactures and markets food and beverage products in North America and internationally. Its products include condiments and sauces, cheese...

    Ticker
    KHC.US
    ISIN
    US5007541064
    CIK
    1637459
    Sector
    Consumer Defensive
    Industry
    Packaged Foods
    Country
    USA
    Address
    One PPG Place, Pittsburgh, PA, United States, 15222