Pilgrim’s Pride, the US poultry group, is to sell a chicken complex in Louisiana to rival Foster Farms for US$80m.
The company, which filed for Chapter 11 in December, said it had agreed to offload the site in Farmerville after receiving a “meaningful offer” from Foster.
“We believe this sale at this price is in the best interests of all parties involved, including our employees, growers, the Farmerville community, and our creditors,” said president and CEO Don Jackson.
The sale is the latest stage in a wide-ranging restructuring process at Pilgrim’s Pride, which fell into bankruptcy after incurring massive debts.
Last month, the company said it would idle three of its 32 US chicken processing plants by mid-May to save costs.