USA, Madison, Wis. The Kraft Heinz Co. has agreed to sell its former Oscar Mayer facility in Madison, Wis., to Reich Brothers Holdings, L.L.C. Financial terms of the transaction were not disclosed.
Kraft Heinz closed the facility in June after a review of its North American supply chain footprint, capabilities and capacity utilization, the company said. Production of Oscar Mayer hot dogs, cold cuts and Lunchables at the facility in Madison was transitioned to other Kraft Heinz facilities in the United States.
“We’re pleased to announce that Reich Brothers has agreed to purchase the historic Oscar Mayer facility,” said Michael Mullen, senior vice-president of corporate and government affairs at Kraft Heinz. “We want to thank Mayor Paul Soglin, Governor Scott Walker and their teams for working closely with us as they sought to redevelop this site. Oscar Mayer is a special brand, and remains an important and successful part of the Kraft Heinz portfolio. We will always be grateful to Madison and the dedicated employees whose work contributed to this brand’s wonderful history over the years.”
Reich Brothers specializes in acquiring turnkey manufacturing plants and provides for the bulk purchase of equipment packages and monetization through the auction sale process.
“This property is an integral part of Madison’s history, as well as the history of food manufacturing in the United States,” said Adam Reich, co-chief executive officer of Reich Brothers. “We understand the importance of the facility and the impact that its closing has had on the area. We look forward to repositioning it for future use, taking into account the values, desires and needs of the community. We will work closely with local officials to achieve these goals.”