WH Group’s US meat arm Smithfield Foods said today (1 June) it had completed its acquisition of the Pini Group’s packaged meats companies in Poland for an undisclosed sum.
The companies will be operated by Polish food producer Animex Foods, part of the US group’s subsidiary Smithfield Poland.
The deal follows the approval of the Polish competition regulator UOKiK and completion of due diligence said Smithfield, which is owned by China-based meat processor WH Group.
The acquisition includes Pini Polska, a meat processing and packaging plant, case-ready meat plant Hamburger Pini and Royal Chicken, which the group said is “an investment project currently in development”.
Smithfield president and CEO Kenneth Sullivan said: “This acquisition aligns with Smithfield’s strategic growth plans by strengthening our vertically-integrated supply chain in Poland and increasing our production of high-quality packaged meats products.”
Sullivan said the move “also capitalises on existing opportunities for us to expand in areas with very attractive market dynamics and to develop scale over time”. He added: “This is a win-win for Smithfield as well as Poland’s agricultural industry. This move will help the Polish meat industry become more competitive across European and international markets.”
Smithfield said as a result of the acquisition its Polish business would employ nearly 9,240 people, including around 240 former Pini employees, which the company claimed “will solidify the company’s position as the largest employer in the Polish food industry”.
WH Group’s existing operations in Poland include Animex Foods and Agri Plus, which the Chinese company attained when it bought Smithfield in 2013.
Animex Foods is the largest pork, poultry and processed meat company in Poland, according to its website. The site describes Agri Plus as the biggest pig producer in the country.