Hormel, Herdez Del Fuerte create MegaMex Foods
October 27, 2009
by FoodBusinessNews.net Staff
AUSTIN, MINN. — Hormel Foods Corp. and Herdez Del Fuerte S.A. de C.V., Mexico City, have closed on a joint venture agreement to create MegaMex Foods, L.L.C., which will market Mexican foods in the United States.
"This new venture takes our relationship with Hormel Foods to the next level, and it is a win-win all around," said Enrique Hernandez-Pons Torres, chairman of the board for MegaMex Foods. "By forming MegaMex Foods, we are able to better serve our retail and food service partners and consumers while positioning our businesses for long-term growth."
MegaMex Foods is a free-standing entity based in Chino, Calif., that has a portfolio of brands including Chi-Chi’s, Herdez, La Victoria, Embasa and Dona Maria. The company will rely on its parent companies for efficiencies in manufacturing, research and development, and supply chain management.
Overall, the joint venture expands the existing agreement between the two companies and will produce an annual revenue stream of about $200 million.