Pilgrim’s
Pilgrim’s, in a press release, said the transaction will solidify it as a leading European food company, creating one of the largest integrated prepared foods businesses in the
The transaction, unanimously approved by Pilgrim’s Board of Directors and funded with cash on hand, values
“We are pleased to strengthen our European foods platform with the acquisition of
Jayson Penn, Pilgrim’s global chief executive officer. “The transaction represents the logical next step in our evolution to expand our geographical footprint, enhance our value-added portfolio and reduce volatility across our business with a more stable margin profile. Tulip Limited’s integrated production platform, consumer ready innovation capabilities, well-invested assets, established customer relationships and strong leadership team will solidify Pilgrim’s platform for growth in the attractive
“We welcome the talented
Andrew Cracknell, to the Pilgrim’s family, and we look forward to working together to drive growth and deliver value for our stakeholders,” Penn continued.
“Pilgrim’s is acquiring an industry-leading farming operation, a strong team of dedicated people and a network of well-invested manufacturing sites,” said
Andrew Cracknell, CEO of
Expanded opportunities for Pilgrim’s in pork sector
Tulip Limited has a long heritage in agriculture and protein production. The company is the largest pig producer in the
“Pilgrim’s is already strongly positioned within the
Jais Valeur, Group CEO of
Under terms of the agreement,
Financing
The transaction will be funded entirely by Pilgrim’s cash on hand. Pilgrim’s believes that its strong cash flow generation and the additional cash flow resulting from the acquisition will allow the company to maintain its strong credit profile while providing ample free cash flow for delivering and facilitating further strategic acquisitions.