The $45 billion merger between Kraft and Heinz will create the world's fifth-largest food company. The deal comes as Kraft struggles to keep up with changing consumer tastes. The companies are hoping the deal will leave them better positioned to cope with some big changes in consumer taste.
Kraft's shares rose about 17 per cent in premarket trading after the announcement of the deal, which will bring Heinz back to the public market following its takeover two years ago.
Kraft shareholders will own a 49 percent stake in the combined company and Heinz shareholders 51 percent.