Krupa Global Investments Urges Buffett to Intervene Immediately at Kraft Heinz; Demands Special Meeting of Stockholders

PRAGUE, Feb. 25, 2019 /PRNewswire/ -- Krupa Global Investments ("KGI"), a significant shareholder of The Kraft Heinz Company, is calling for immediate action from Warren Buffett to make needed reforms and changes at Kraft Heinz in the aftermath of the food maker's recently released earnings report. Additionally, KGI is calling for an emergency shareholders meeting where institutional shareholders can collaborate with management to build a cohesive turnaround strategy.

The Q4 earnings report from Kraft Heinz, released on February 21^st, showed that the company had missed earnings and revenue targets. Additionally, the report mentioned a probe from the SEC related to Kraft Heinz's accounting practices. As of midday Friday, Kraft Heinz stock had fallen approximately 27%.

Pavol Krupa, Chairman of Krupa Global Investments, stressed that the recent report further illustrated the need for Warren Buffett to purchase the company at an adequate price.

"Berkshire Hathaway has lost approximately $4 Billion in the aftermath of Kraft Heinz's earnings report. When compounded with Kraft Heinz's longer-term decline in stock price, this equates to an over $10 Billion loss for Berkshire Hathaway from Kraft Heinz. Mr. Buffett can no longer stand idly by and hope that management's strategies will work long-term when quarter after quarter management stuns investors with disappointing results. Reform is needed and can only come from Mr. Buffett purchasing the company and making his shareholders whole. Mr. Buffett's entire reputation is at stake," said Krupa.

To further this point, KGI has arranged for mobile billboard trucks on Wall Street and in Omaha urging Warren Buffett to "Save Kraft Heinz" with his famous quote saying, "It takes 20 years to build a reputation and five minutes to ruin it."

Additionally, Mr. Krupa emphasized his demand for an immediate Special Meeting of Stockholders to discuss turnaround strategies for Kraft Heinz including a sale of the company to Berkshire Hathaway. Per Kraft Heinz bylaws, conducting a special meeting requires the support of at least 20% of the combined voting power of all outstanding shares. Therefore, KGI is asking for other stockholders to join its demand for such a meeting such that the aforementioned 20% or requisite percentage can be achieved.

About Krupa Global Investments:

Krupa Global Investments, previously known as Arca Capital, is a private investment group with a focus on energy, real estate, retail and service activities, as well as regulated activities focused on building and managing fund structures focusing on energy, real estate and financial services. It is named after its founder and chairman, Pavol Krupa. The firm takes an activist approach, with the goal of remedying and eliminating management actions that have a negative impact on companies, and with the goal of achieving significant positive change in strategy, financial structure or management. The firm has fought and won many successful battles and in so doing has streamline companies and realize hundreds of millions in shareholder value.

Contact for media: 
Barbora Hanáková, Spokesperson
+420 776 575 096
[email protected] 
www.krupainvestments.com

SOURCE Krupa Global Investments

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