The History of Kraft: Splits, Mergers, and Heinz
From a Chicago cheese business to a global food giant to a planned 2026 breakup, the Kraft brand has been merged, split, and restructured more than almost any consumer brand.
A Brand That Cannot Stop Splitting
No major consumer brand has been merged, split, acquired, and restructured as many times as Kraft. What began as a single cheese business in Chicago in 1903 has been through so many corporate transactions that tracing who owns what requires a flowchart.
And it is not over. In September 2025, Kraft Heinz announced plans to split into two separate publicly traded companies by the second half of 2026. Former Kellanova CEO Steve Cahillane was tapped to lead the high-growth company that will retain Heinz, Philadelphia cream cheese, and Kraft Mac & Cheese.
This is the story of how one brand name ended up scattered across multiple corporations, and what the latest split means for consumers.
The Timeline
1903-1988: Building the Empire
James L. Kraft started selling cheese from a horse-drawn wagon in Chicago in 1903. By 1914, he had incorporated J.L. Kraft & Bros. Company. The company pioneered processed cheese and grew through decades of acquisitions.
- 1903: James Kraft starts cheese wholesale business
- 1914: Incorporated as J.L. Kraft & Bros.
- 1928: Merged with Phenix Cheese Corporation to form Kraft-Phenix Cheese
- 1930: National Dairy Products acquired Kraft-Phenix
- 1969: National Dairy renamed to Kraftco Corporation
- 1976: Renamed to Kraft Inc.
- 1988: Philip Morris Companies (now Altria) acquired Kraft for $12.9 billion
1988-2000: The Philip Morris Era
Philip Morris (the tobacco giant) acquired Kraft in 1988 and merged it with its existing food business, General Foods, to create Kraft General Foods. This made the combined entity one of the largest food companies in the world.
In 1995, Philip Morris merged Kraft General Foods with its other food division to create Kraft Foods Inc., housing brands including Maxwell House coffee, Oscar Mayer, Jell-O, and dozens of cheese and packaged food brands.
2007-2012: The First Split
2007: Altria (formerly Philip Morris) spun off Kraft Foods as an independent publicly traded company.
2010: Kraft Foods acquired Cadbury, the British chocolate maker, for $19.5 billion. This was controversial because the acquisition loaded the company with debt and brought in a portfolio of global snack brands that did not naturally fit with Kraft's North American grocery business.
- Mondelez International (NASDAQ: MDLZ): Took the global snacking business, including Oreo, Cadbury, Toblerone, Trident, and Chips Ahoy. Kept the former Kraft international operations.
- Kraft Foods Group: Retained the North American grocery brands, including Kraft cheese, Oscar Mayer, Maxwell House, Jell-O, and Velveeta.
This split separated "fast-growing global snacks" from "slower-growing North American grocery." Mondelez became a global snacking powerhouse while Kraft Foods Group remained focused on the American market.
2015: The Heinz Merger
In 2015, 3G Capital (a Brazilian-American private equity firm) and Berkshire Hathaway (Warren Buffett) engineered the merger of Kraft Foods Group with H.J. Heinz Company to create The Kraft Heinz Company (NASDAQ: KHC).
The deal valued the combined company at approximately $46 billion. 3G Capital applied its aggressive cost-cutting approach (known as "zero-based budgeting"), slashing expenses across the business.
- Short-term profits improved as costs were cut
- Long-term brand health suffered as marketing and innovation budgets were reduced
- A $15.4 billion goodwill writedown in 2019 acknowledged that Kraft Heinz had overpaid
- The stock price declined from approximately $90 at merger to under $30 by 2020
2025-2026: The Second Split
In September 2025, Kraft Heinz announced it would split into two publicly traded companies:
Company 1 (High-Growth): Will retain Heinz ketchup, Philadelphia cream cheese, Kraft Mac & Cheese, Lunchables, and other brands with stronger growth profiles. Former Kellanova CEO Steve Cahillane will lead this company.
Company 2 (Grocery): Will house Oscar Mayer, Maxwell House, Velveeta, Jell-O, Cool Whip, and other slower-growing grocery brands.
The split is expected to close in the second half of 2026. Reuters described it as "unwinding the disappointing merger" between Kraft and Heinz.
Where Are All the Kraft Brands Now?
The Kraft name is now scattered across multiple corporations:
| Brand | Current Owner | How It Got There |
|---|---|---|
| Heinz Ketchup | Kraft Heinz (splitting 2026) | 2015 merger |
| Philadelphia Cream Cheese | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Kraft Mac & Cheese | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Oscar Mayer | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Maxwell House | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Jell-O | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Velveeta | Kraft Heinz (splitting 2026) | Original Kraft brand |
| Oreo | Mondelez | 2012 split |
| Cadbury | Mondelez | 2010 acquisition, kept in 2012 split |
| Toblerone | Mondelez | 2012 split |
| Trident | Mondelez | 2012 split |
| Chips Ahoy | Mondelez | 2012 split |
After the 2026 split, the "Kraft" name will be associated with at least three separate publicly traded companies: the two Kraft Heinz successors plus Mondelez (which still uses "Kraft" branding in some international markets).
Why Does Kraft Keep Splitting?
The Conglomerate Discount
Wall Street typically values focused companies more highly than diversified conglomerates. Each split has been driven by the belief that individual parts are worth more separately than together. High-growth brands like Heinz ketchup and Philadelphia command higher valuation multiples than declining brands like Maxwell House.
Different Growth Profiles
Fast-growing brands require investment in marketing and innovation. Slow-growing brands benefit from cost optimization. Housing both under one corporate roof creates tension between investment and efficiency. Splitting allows each company to pursue its natural strategy.
Private Equity Influence
3G Capital's involvement in both the 2015 merger and the 2025 split reflects private equity's role in consumer goods. 3G's initial strategy of cost-cutting and merger synergies has given way to recognition that the combined entity was not delivering shareholder value.
Lessons for Consumers
Kraft's history illustrates several important patterns in brand ownership:
1. Brand names outlast corporate structures. The Kraft name has survived every merger, split, and restructuring. Consumers still buy "Kraft" cheese regardless of which corporation owns it.
2. Mergers are not permanent. The Kraft-Heinz merger, once celebrated as a marriage of iconic brands, is being unwound just 11 years later. No corporate combination is guaranteed to last.
3. Who owns a brand affects how it is managed. Under 3G Capital's cost-cutting regime, many Kraft Heinz brands saw reduced marketing and innovation. The 2026 split is partly an acknowledgment that different brands need different management approaches.
Frequently Asked Questions
Who owns Kraft in 2026?
The Kraft Heinz Company (NASDAQ: KHC) currently owns all Kraft-branded grocery products in North America. However, the company announced in September 2025 that it will split into two separate companies by the second half of 2026. Snack brands formerly under Kraft (Oreo, Cadbury) are owned by Mondelez International.
Is Kraft Heinz splitting up?
Yes. Kraft Heinz announced in September 2025 that it will split into two publicly traded companies. The "high-growth" company will keep Heinz, Philadelphia, and Kraft Mac & Cheese. The "grocery" company will keep Oscar Mayer, Maxwell House, and Jell-O.
Does Mondelez still use the Kraft name?
Mondelez International uses the Kraft name on some products in international markets. In the United States, Mondelez brands (Oreo, Cadbury, Chips Ahoy) do not carry the Kraft name.
Was the Kraft-Heinz merger successful?
By most financial measures, no. Kraft Heinz's stock price declined significantly from its post-merger high, the company took a $15.4 billion writedown in 2019, and the planned 2026 split essentially unwinds the combination.
The Bottom Line
Kraft's 120-year history is a masterclass in how brands get shuffled through corporate transactions. The cheese brand that James Kraft started selling from a wagon in Chicago has been part of National Dairy, Philip Morris, Kraft Foods, Mondelez, and Kraft Heinz, and is about to be split again. Through it all, consumers kept buying Kraft cheese, Heinz ketchup, and Philadelphia cream cheese, largely unaware of the corporate reshuffling happening above them.
Explore food brand ownership on WhoBrands or browse food and beverage brands.
Explore Related Brands
- Philadelphia - Iconic cream cheese, Kraft Heinz-owned
- Cheez-It - Formerly Kellogg's, now Kellanova
- Pop-Tarts - Formerly Kellogg's, now Kellanova
- Pringles - Formerly P&G, now Mars via Kellanova
Sources
1. Kraft Heinz Company. "Plan to Separate into Two Companies." Press release, September 2025. 2. CNBC. "Kraft Heinz Taps Former Kellanova CEO Steve Cahillane." December 2025. 3. Reuters. "Kraft Heinz Splits, Unwinding Disappointing Merger." September 2025. 4. Forbes. "Kraft Heinz To Split Into Two Companies." September 2025. 5. Kraft Heinz Company. Annual Reports 2019-2024.
All brand ownership data verified through WhoBrands.com's research methodology. Last updated: January 20, 2026.
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Brands & Companies Mentioned
Philadelphia
Owned by Kraft Heinz Company
American brand of cream cheese products produced by Kraft Heinz, one of the most recognized cream cheese brands worldwide.
Cheez-It
Owned by Mars, Incorporated
American brand of cheese cracker snacks originally made by Kellogg's Kellanova division, now owned by Mars, Incorporated.
Pop-Tarts
Owned by Mars, Incorporated
American brand of toaster pastries filled with various flavors, now owned by Mars, Incorporated through the Kellanova acquisition.
Kraft Heinz Company
American multinational food company formed by the merger of Kraft Foods and H.J. Heinz, one of the largest food and beverage companies globally.
10 brands in portfolio
Mondelez International
American multinational confectionery, food, and beverage company, one of the world's largest snack companies with iconic brands including Oreo, Cadbury, Ritz, and Toblerone.
7 brands in portfolio
Mars, Incorporated
American multinational manufacturer of confectionery, pet food, and other food products, and one of the largest privately held companies in the world.
19 brands in portfolio