US: Overhill Farms receives approaches
US frozen-food firm Overhill Farms has confirmed it is evaluating a number of approaches over potential joint ventures, acquisitions or "other transactions".
Overhill revealed yesterday (13 August) it has received "expressions of interest" from "several parties", which remain unnamed.
The private-label frozen food group, which recently gained the licence to manufacture the Boston Market brand, said that it has appointed Piper Jaffray & Co to advise it on the best means to maximise shareholder value.
Shares in Overhill rose 16.83% on the New York stock exchange today, climbing to $4.65 per share at time of press.
Overhill Farms Engages Investment Banking Firm Press Release: Overhill Farms, Inc.
LOS ANGELES, CA--(Marketwire -08/13/12)- Overhill Farms, Inc. (OFI) announced that, after receiving several substantive proposals regarding potential joint ventures, acquisitions and other transactions, the Company has engaged the investment banking firm of Piper Jaffray & Co. to advise it with regard to evaluating these and other alternatives to maximize shareholder value.
"Because of our increased visibility in our industry, especially following the acquisition of the exclusive license for the Boston Market Frozen Foods brand, we have been approached with increasing frequency by companies and investment funds in our industry," said James Rudis, Chairman and Chief Executive Officer of Overhill Farms.
"Recently we have been presented with expressions of interest from several parties with potential opportunities that our Board is now evaluating. With the assistance of Piper Jaffray, we will explore these and other options and determine the best course for our shareholders, customers and employees," Mr. Rudis said.
While it explores these proposals, Mr. Rudis said, the Company has suspended its previously announced stock buyback program. There can be no assurance that the evaluation of strategic alternatives will result in a transaction. There is no timetable for the review, and the Company does not intend to disclose developments regarding the process unless a specific transaction is recommended by the Board of Directors or disclosure is otherwise deemed appropriate.
About Overhill Farms Overhill Farms, Inc. (www.OverhillFarms.com) is a value-added supplier of custom high quality prepared frozen foods for branded retail, private label foodservice and airline customers. Its product line includes entrées, plated meals, bulk-packed meal components, pastas, soups, sauces, poultry, meat and fish specialties, as well as organic and vegetarian offerings. The Company's capabilities give its customers a one-stop solution for new product development, precise replication of existing recipes, product manufacturing and packaging. Its customers include prominent nationally recognized names such as Panda Restaurant Group, Inc., Jenny Craig, Inc., Safeway Inc., Target Corporation, Pinnacle Foods Group LLC, and American Airlines, Inc. The Company also sells frozen foods under the Boston Market brand, under exclusive license with Boston Market Corporation.
Original source: Overhill Farms Inc
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