The Kraft Heinz Co. has engaged advisers to explore the sale of its Oscar Mayer processed meat business, according to a report by The Wall Street Journal. The company is aiming for a sale price between $3 billion and $5 billion for the iconic brand.

This move comes under the leadership of new CEO Carlos Abrams-Rivera, who is spearheading a strategic refocus of Kraft Heinz’s product portfolio towards offerings that emphasize taste and nutrition. This strategy aims to bolster the company’s stock performance and long-term growth prospects.

In the first quarter of fiscal 2024, which ended on March 30, Kraft Heinz reported a net income of $801 million, or 66 cents per share, reflecting a 4.2% decrease from the previous year’s first-quarter earnings of $836 million, or 68 cents per share. The company's sales declined by 1.2% to $6.41 billion from $6.49 billion in the same period last year, with organic sales down by 0.5%. Although pricing adjustments contributed positively by 2.7 percentage points, this was offset by a negative impact of 3.2 percentage points due to reduced volume and mix.

Kraft Heinz attributed its underwhelming quarterly performance to multiple factors, including reduced benefits from the Supplemental Nutrition Assistance Program (SNAP) and a downturn in its away-from-home business segment.

Kraft Heinz is not alone in its efforts to realign its product offerings. B&G Foods, Inc., based in Parsippany, NJ, has announced plans to divest its frozen and canned vegetable business. Additionally, in late April, Reuters reported that General Mills, Inc., headquartered in Minneapolis, is exploring the sale of its North America yogurt business.

These moves by major food companies highlight a broader industry trend of reevaluating and streamlining product portfolios to better align with evolving consumer preferences and market conditions.