US meat producer Smithfield Foods has sold its hog production operations in Texhoma, Oklahoma to Prestage Farms.
The Texhoma operations house 20,000 sows and contain 71,000 nursery and 172,000 finishing spaces. Specific terms of the transaction were not disclosed in the announcement yesterday (31 January).
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“Although vertical integration continues to be a key point of difference for Smithfield, these farms do not supply any of the company’s pork processing plants,” Larry Pope, president and CEO of Smithfield said.
“The sale of these operations demonstrates our continuing commitment to shed non-core businesses with a greater focus on return on invested capital,” he added. “This divestiture is another example of how we have altered our strategy to deliver better returns to our shareholders.”
