Cases: what worked, what didn't, and why
Blackstone's Hilton buyout and the Kraft Heinz merger, read side by side: growth and deleveraging against cost alone.
Worked: Blackstone and Hilton, 2007 to 2018
High-leverage entry, crisis-era operational work and a post-recession asset-light strategy produced ~$14B in profit on exit, an example of EBITDA growth and deleveraging outmuscling cycle risk.
Didn't work: Kraft Heinz, 2015 onward
Aggressive zero-based budgeting with underinvestment in brands left a thin growth engine and culminated in a $15.4B impairment and a strategy reset.
Cost alone rarely sustains value without brand vitality and top-line renewal.
Informational content only. Not investment advice.