That Maxwell is going to be sold? Instant coffee, are you okay?!

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Although it is now quite common in domestic coffee shops, instant coffee still has a certain status in people's minds. For example, Nestle, which is in full swing, not long ago launched a variety of coffee capsules with Starbucks. However, the coffee brand Maxwell, which is also well known to Nestle, does not seem to be very good.

Maxwell is an American coffee brand produced by Kraft Heinz's division of the same name. Launched by wholesale grocer Joel Owsley Cheek in 1892, it is named in honor of the Maxwell Hotel, a famous hotel in downtown Nashville, Tennessee, which was destroyed by fire on December 25, 1961 (the hotel was disbanded). The coffee served at the hotel was blended by a local grocer named Joel Cheek, its first major customer.

However, according to the results just released by the century-old brand, not only is Kraft Heinz worrying, but its share price has also experienced its biggest one-day plunge of nearly 30% recently.

Maxwell used to be a leading national brand in the United States, but the local coffee market in the United States is no longer optimistic for Maxwell, which mainly sells instant coffee powder and coffee capsules. At present, the coffee market in the United States is shifting from household consumption to immediate consumption in coffee shops, in addition to the continuous expansion of coffee chains such as Starbucks, low-cost coffee has also compressed the instant coffee market-fast food chains such as McDonald's and Donndole are fighting a price war for coffee.

Last year, Kraft Heinz sold its Canadian dairy business and Indian beverage business Complan. The company said last week that it was considering selling brands that "do not have a clear competitive advantage path".

It is reported that Kraft has hired investment bank Credit Suisse to review strategic options for Maxwell Coffee Business Review. The business could get a transaction price of at least $3 billion.

However, so far, Kraft Heinz has refused to respond positively to news of a possible sale of Maxwell. Kraft Heinz spokesman Michael Mullen told Reuters that they are focusing on nurturing "competitive brands in growing, for-profit categories" and do not rule out selling assets if this option allows them to maintain normal earnings.