Heinz 'Ketchup Provision' Was Nifty But Unneeded In $28B Deal

Law360, New York (June 7, 2013, 6:27 PM EDT) -- The $28 billion buyout of H.J. Heinz Co. closed on Friday right on schedule and virtually hiccup-free, never having to rely on its niftiest provision.

3G Capital Management LLC and Berkshire Hathaway Inc.’s deal for the ketchup giant — the biggest private equity buyout in five years — included a fallback in its debt documents that gave the buyers a four-month grace period to cure any financing problems before Heinz was entitled to its $1.4 billion reverse breakup fee.

As long as 3G and Berkshire sued...
To view the full article, register now.