GREELEY, COLO. – Pilgrim’s Pride Corp. has acquired Moy Park, a poultry processor and prepared foods manufacturer based in Northern Ireland, from JBS S.A. for approximately $1.3 billion.
|Bill Lovette, c.e.o. of Pilgrim’s Pride|
“We are pleased to announce the acquisition of Moy Park, which will position Pilgrim's to become a global player, with an improved and more stable margin profile on the chicken business and an expanded portfolio of prepared foods,” said Bill Lovette, chief executive officer of Pilgrim’s Pride. “Following our successful acquisitions of GNP and the assets in Mexico, Moy Park represents a logical next step in the evolution of our geographical and brands footprint.
“The acquisition gives us access to the attractive U.K. and European markets, which advances our strategy of diversifying our portfolio to be more global while reducing volatility across our businesses. We will have new business opportunities through the addition of Moy Park’s fully integrated poultry production platform and its strong presence in prepared foods.”
The acquisition has been unanimously approved by a special committee of Pilgrim’s Pride’s board of directors. JBS S.A. is one of Pilgrim’s largest shareholders, and the company said the special committee consists of independent equity directors unaffiliated with JBS.
Moy Park has seven processing plants, four focused on the primary processing of poultry and three value-added plants that manufacture cooked, marinated and sliced products. The company markets two consumer brands under the Moy Park Chicken and O’Kane names.
|Janet McCollum, c.e.o. of Moy Park|
“Joining Pilgrim’s gives us the opportunity to accelerate our growth plans, share best practices and leverage Pilgrim’s expertise and operational excellence,” said Janet McCollum, c.e.o. of Moy Park. “Moy Park will provide Pilgrim’s with a platform for growth in Europe as well as access to innovation and increased exposure to prepared foods.”
Pilgrim’s Pride management expects the acquisition to be immediately accretive to earnings and that the company will achieve approximately $50 million in annualized synergies during the next two years.Moy Park will remain headquartered in Craigavon, Northern Ireland, and its current management team will continue to run the company, according to Pilgrim’s Pride.