This transaction is expected to close on January 6, 2020, once all the provisions of the agreement between the parties have been fulfilled. Terms of the agreement, which was first announced in July, will not be disclosed.
F. Ménard, based in Montérégie, Quebec, employs more than 1,200 people and is specialized in the production, processing and marketing of pork meat as well as in milling activities. With an annual production exceeding 1.1 million hogs, the company accounts for more than 15% of Quebec's pork production. The transaction includes hog farms, pork processing and further processing plants, two specialized butcher shops and a transport fleet, as well as two mills.
"Two leaders of the agri-food production and processing sector will now join forces to grow as part of La Coop fédérée and push the limits of their respective markets. By acquiring F. Ménard, Olymel and Sollio Agriculture will provide Canada with one of the biggest agrifood companies in both the meat and milling sectors. This acquisition strengthens our ability to compete with world-class companies and consolidate our position in domestic and international markets," said Ghislain Gervais, president of La Coop fédérée.
Luc Ménard, executive director of F. Ménard, said La Coop fédérée can provide “the best possible solution for the continued growth of the company to which our family has dedicated its heart and soul for nearly 60 years.”
Ménard I will remain with the company and ensure a smooth transition in the coming weeks.
“We are uniting our destiny with La Coop fédérée and its Olymel and Sollio Agriculture divisions, companies that have seen great success both in Canada and internationally. I am confident that this transaction will allow us to continue to serve our customers with excellent products and to pursue mutually beneficial business relationships with our suppliers," said Ménard.
"This transaction will undoubtedly contribute to the continued growth of both F. Ménard and Olymel. It is with great pride that we will welcome the employees of F. Ménard. We are convinced that their experience, know-how and commitment to F. Ménard's success will be able to shine within Olymel. The future prospects resulting from this transaction are exciting. Together we will be even better equipped to grow in new directions, meet market challenges, enhance the pork industry, serve our customers with quality products and face the competition. I would like to thank Luc Ménard and his family members and I look forward to working with them to continue to build the country's finest and most successful food processing company," said Réjean Nadeau, president and CEO of Olymel L.P.
According to the WATTAgNet Top Poultry Companies Database, Olymel is the largest poultry processor in Canada and the largest pork and poultry meat exporter in Canada. Olymel, and operates four broiler hatcheries. La Coop fédérée is among the 24 largest cooperatives worldwide with 120,000 members.