Brazilian private equity firm 3G Capital Partners is reportedly in "advanced talks" to buy Kraft Foods Group. The deal is expected to be worth $40 billion.

It may be recalled that 3G had acquired ketchup maker HJ Heinz in 2014 and the acquisition of Kraft Food would put somewhat outdated food brands of the US into the hands of a firm known as Brazil's "buyout kings."

Kraft's product line includes several popular names like Kraft Macaroni & Cheese, Oscar Mayer, Jello, Velveeta, Kool Aid, Capri Sun, Cool Whip and Shake N'Bake.

In 2014, the earnings of Kraft plunged 62% as it was seen as a part of a general downturn in a packaged food industry that's been hurt by a shift in consumer preferences toward fresher, less processed, more local foods.

In December, former Pepsico CEO John Cahill became chief executive of Kraft, and said he would "take a fresh look at the business."

Kraft's CFO and two other executives resigned in February after the company reported a fourth-quarter loss of $398 billion. The loss happened mainly due to pension-related costs, and overall sluggish demand for packaged foods in the US.

It remains to be seen how 3G would succeed in turning around the company's flagging sales. In 2013, after joining hands with Warren Buffett to buy Heinz, 3G put the condiments company on a rigorous cost-cutting plan (paywall) that has slashed jobs and closed plants.