The Kraft Heinz Company (NasdaqGS:KHC) is expected to run a sale process for its $1 billion Australia and New Zealand operations after sources suggested the most logical suitor is unprepared to pay up for the business. KKR & Co. Inc. (NYSE:KKR) (Kohlberg Kravis Roberts) was earlier said to be in the box seat to buy the ANZ operations of Kraft Heinz after both parties were understood to have held recent discussions about a deal.

KKR owns the Australian biscuits company Arnott's, which it purchased in 2019 for $2.2 billion. Synergies would likely exist through also taking on the Kraft Heinz operations. Arnott's is run by George Zoghbi, who is a former Kraft Heinz executive and also on the Kraft Heinz board.

Sources say KKR has been seen as the logical buyer of Kraft Heinz's ANZ arm should it come up for sale.