NEW YORK, March 28, 2020 /PRNewswire/ -- Leading investor law firm Grant & Eisenhofer, P.A. filed a securities class action on March 25 on behalf of City of Hollywood Police Officers' Retirement System against Kraft Heinz (NASDAQ: KHC), certain of its current and former senior executives, and 3G Capital, Inc. and its related affiliates.
The action, filed in the United States District Court for the Northern District of Illinois, is brought on behalf of all persons or entities who purchased or acquired publicly traded KHC securities, including KHC common stock, during the period between July 2, 2015 and November 4, 2015, including those who acquired KHC securities as a result of the acquisition of Kraft Foods Group, Inc. ("Kraft") by the H.J. Heinz Company ("Heinz").
The action is captioned City of Hollywood Police Officers' Retirement System v. The Kraft Heinz Company, et al., 1:20-cv-01970 (N.D. Ill.). It is related to the consolidated action Union Asset Management Holding AG and Sjunde AP-Fonden. v. The Kraft Heinz Company, et al., 1:19-cv-01339-RMD (N.D. Ill.).
This action seeks damages for violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and U.S. Securities and Exchange Commission Rule 10b-5 promulgated thereunder. Defendants are The Kraft Heinz Company, 3G Capital Partners, 3G Capital, Inc., 3G Global Food Holdings, L.P., 3G Global Food Holdings GP LP, 3G Capital Partners LP, 3G Capital Partners II LP, 3G Capital Partners Ltd., Bernardo Hees (KHC's former CEO), Paulo Basilio (KHC's former CFO) and Alexandre Behring (KHC's former Chairman of the Board of Directors).
Kraft Heinz is a multi-national consumer goods conglomerate, which includes in its portfolio popular brands including Heinz ketchup, Oscar Mayer meats, Kraft cheese products, Maxwell House coffee and Jell-O desserts. It was formed on July 2, 2015, when Heinz acquired Kraft (the "Merger"). 3G Capital Partners is a private equity firm that, owned Heinz, with other partners, prior to the Merger. Subsequent to the Merger, 3G Capital Partners owned approximately 25% of KHC.
The action alleges that Defendants concealed material information and made false and misleading statements concerning the strategy that Defendants had for the company following the merger. In particular, while Defendants assured investors that Kraft Heinz would focus on product innovation and brand marketing to maintain long term value and achieve growth, in fact the strategy was simply to aggressively and indiscriminately cut costs, which led a significant decline in the value of its most iconic brands. When the truth regarding these false and misleading statements became known to the public, the price of KHC's publicly traded securities fell significantly, harming investors.
For investors who purchased or acquired KHC publicly traded securities during the Class Period, you are a member of this proposed Class and may be able to seek appointment as lead plaintiff, which is a court-appointed representative for the Class, by complying with the relevant provisions for the Private Securities Litigation Reform Act of 1995 (the "PSLRA"). See 15 U.S.C. Section 78u-4(a)(2)(A)(i)-(iv). If you wish to serve as lead plaintiff, you must move the Court no later than May 27, 2020. You need not seek to become a lead plaintiff in order to share in any possible recovery. You may retain counsel of your choice to represent you in this action.
The plaintiff, City of Hollywood Police Officers' Retirement System, seeks to recover damages on behalf of the Class and is represented by Grant & Eisenhofer, a law firm with a strong background and experience in handling securities class actions and other complex commercial litigation.
If you have any questions about this notice, this action, or your rights, you may contact Caitlin M. Moyna at Grant & Eisenhofer, firstname.lastname@example.org, 646-722-8513.
SOURCE Grant & Eisenhofer