Kraft Heinz's shares slumped about 7% to a ⁠near six-year low Wednesday after the Heinz ketchup maker disclosed that Berkshire Hathaway may sell its 27.5% stake as the food giant prepares to split into two businesses.

The Oscar Mayer meats maker had filed a prospectus supplement with ‍the U.S. securities regulator to register the potential resale ‍of Berkshire's 325.4 million shares.

The stake is valued at about $7.7 billion based on a closing price of $23.76 on ⁠Tuesday. Kraft Heinz's shares fell to as low as $21.99 on Wednesday.

Berkshire under Warren Buffett, and now led by Greg Abel, along with 3G ​Capital, was instrumental in the 2015 merger that formed Kraft Heinz. But its investment has been marked by a $3 billion writedown in 2019 and another $3.76 billion last year.

"(Greg Abel) ‍has now decided to cut his losses and close the position," Russ ⁠Mould, investment director at AJ Bell said.

Kraft Heinz has been one of the worst performers in the U.S. packaged food sector, pressured by deep cost cuts, limited innovation and rising competition from healthier and private-label brands.

The spinoff, which ⁠is expected to close ​in the second half of ⁠2026, will split the company into two — one focused on groceries and the other on ‍sauces and spreads. Buffett had then told CNBC he was "disappointed" in the split as taking ‌the company apart would not fix its problems.

"The sale is unlikely to affect Kraft Heinz's break-up — and instead underscores the need for a strategic ⁠overhaul to ​get the company's brands back ‍on track," Emarketer analyst Rachel Wolff said.

Kraft Heinz appointed industry veteran Steve Cahillane as its new CEO starting in January. ‍He had previously led cereal and snack maker Kellogg through its split in 2023.