Pilgrim's Pride Announces Acquisition Approval of Tyson de Mexico
June 1, 2015
GREELEY, Colo., June 1, 2015 -- Pilgrim's Pride Corporation (Nasdaq:PPC) (the "Company") today announced the Mexican Federal Economic Competition Commission (the "Commission") has cleared the proposed acquisition of Tyson Foods, Inc's ("Tyson") Mexican operations. This satisfies the final regulatory approval required for closing by the Commission, and the Company will now work with Tyson to complete the deal as soon as possible.
"We are excited to welcome members of Tyson de México to the Pilgrim's family," said Bill Lovette, Chief Executive Officer of Pilgrim's. "Beyond growth, this transaction will also provide Pilgrim's with geographic diversity in Mexico through the addition of new facilities in the northern part of the country to complement our existing facilities, enhance our portfolio through more value added and branded products including the Del Dia brand, and increase our total Mexico sales. Mexico is a key piece of our strategy and we view the country as a proxy of other developing economies' future demand for higher protein consumption."
Tyson de México has an estimated annual revenue of $650 million and the acquisition was valued at $400 million. Following completion of the deal, the Company will continue to supply Tyson through a co-packaging arrangement.
About Pilgrim's Pride
Pilgrim's Pride Corporation employs approximately 35,000 people and operates chicken processing plants and prepared-foods facilities in 12 states, Puerto Rico and Mexico. The Company's primary distribution is through retailers and foodservice distributors. For more information, please visit www.pilgrims.com.