Cal-Maine Foods, Inc. announced plans to acquire the assets of Fassio Egg Farms’ commercial shell egg production and processing business.
The assets to be acquired include Fassio’s conventional and cage-free farms with a capacity of approximately 1.2 million laying hens, a feed mill, fertilizer production and composting operations, Fassio’s current pullet flocks and land located in Erda, Utah.
Concerning on the announcement, Sherman Miller, Cal-Maine Foods President and Chief Executive Officer, stated, “We are excited about the opportunity to expand our market presence in Utah and the western United States with the proposed acquisition of these assets from Fassio.”
The deal is the first publicly announced acquisition that Cal-Maine has made since appointing Miller to his current position in 2022.
“The additional production capacity, especially for cage-free eggs, will enhance our ability to serve our valued customers in this important market area. Fassio has been a leader in the egg production business since 1915 and enjoys a solid reputation in the community. We look forward to working with the Fassio team as we extend our market reach and deliver greater value to both our customers and shareholders.”
Cal-Maine’s recent acquisitions
In 2021, Cal-Maine acquired Red River Valley Egg Farm from Rose Acre Farms for $4.85 million.
Red River Valley Egg Farm was formed in 2015 as a joint venture between Cal-Maine and Rose Acre. The Bogata, Texas-based specialty shell egg production complex operates on 400 acres with approximately 1.7 million cage-free laying hens, cage-free pullet capacity, feed mill, processing plant, offices, outbuildings and equipment.
In 2019, Cal-Maine acquired Mahard Egg Farm and its commercial shell egg production, processing, distribution and sales business.
The assets that Cal-Maine acquired included shell egg production and processing facilities with a capacity of approximately 3.9 million laying hens, a feed mill and Mahard’s pullets at the time. Additionally, Cal-Maine obtained related production facilities located in Chillicothe, Texas, and Nebo, Oklahoma, and a distribution warehouse located in Gordonville, Texas.
