U.S. headquartered meatpacker and tanner, Tyson Foods, has entered a definitive agreement to acquire the Thai and European operations of Brazilian BRF to expand its offerings of protein in global markets.
The US$340 million deal, which follows the acquisition of Keystone Foods in November and concerns the poultry segment, is said to include four processing facilities in Thailand, one processing facility in the Netherlands and one processing facility in the UK. According to Tyson, the acquisition of these BRF facilities will help complement and strengthen its presence in Thailand, and provide new capabilities in Europe.
“It’s estimated that approximately 90% of global protein consumption growth will occur outside the U.S., with 60% of the volume growth coming from Asia over the next 5 years,” said Donnie King, President of International, Tyson Foods. “Increasing our international footprint with in-country operations and export capabilities will help Tyson Foods strategically access new markets and better serve the growing global demand for our value-added protein.”
Additional terms of the deal have not been disclosed. The transaction is expected to close before the end of the Company’s fiscal third quarter.
Information courtesy of ILM