US: Smithfield Foods to form JV with Kansas Sausage Co.
The deal is expected to close in the fourth quarter of fiscal 2013
US meat processor Smithfield Foods plans to form a joint venture with Kansas City Sausage Co.
The transaction, announced today (15 February), will be funded with cash and will be a 50/50 partnership deal. Smithfield said it will allow the company to grow in two categories it that have not historically been a focus: breakfast sausage and dinner sausage.
"With our strong ongoing focus on building our packaged meats business, and with 15% of the US sow population, this joint venture is a logical fit for Smithfield. These categories represent over $4bn in retail and foodservice sales annually," Smithfield president and CEO Larry Pope said.
The deal is expected to close in the fourth quarter of fiscal 2013 and is subject to customary closing conditions and regulatory approvals.
The US government is to extend its review of the planned takeover of Smithfield Foods by China's biggest pork producer, Shuanghui International. ...
- Mondelez results and outlook - 7 things to learn
- Comment: Hain Celestial cognisant of US challenges
- What should you learn from 2015 olive oil prices?
- Why Lactalis swooped for Romanian dairy Albalact
- just-food's three top tips for M&A deals in 2016
- Mondelez continues to see margins up, sales mixed
- Hain Celestial lifted by international, protein
- China eyes further infant formula restrictions
- Unilever launches eggless Hellmann's mayo in US
- Unilever launches dairy-free Ben & Jerry's in US