JBS USA to acquire Plumrose USA from Danish Crown
Animal protein processor JBS USA has entered a definitive share purchase agreement with Danish Crown to acquire the latter's bacon, ham and deli meat business, Plumrose USA, for $230m.
The deal is expected to be completed by the second quarter of this year, subject to regulatory review and approval, as well as customary closing conditions.
JBS USA CEO Andre Nogueira said: “Today’s announcement is further demonstration of our commitment to disciplined growth through strategic acquisitions that further diversify our product portfolio, expand our branded offerings and strengthen our direct relationship with consumers.
“Plumrose USA is a well-respected business with an outstanding professional team, a strong portfolio of branded, cooked and prepared foods, and first-class, well-invested assets in strategic geographic locations that complement our current business structure."
According to the deal, JBS USA will be acquiring five prepared foods facilities and two distribution centres.
For more than eight decades, Plumrose USA has been manufacturing meat products such as bacon, packaged deli meats, quality deli counter hams, cooked ribs and canned hams across the US.
Danish Crown CEO Jais Valeur said: “The focus of Danish Crown’s 4WD strategy is to lead our home markets in Northern Europe, further grow our position in Asia and to expand our leading position in casings globally.
“We have therefore decided to sell Plumrose USA. I am certain that JBS, with its wide presence and access to raw materials in North America, is a perfect match for Plumrose USA and will help fortify its business to the benefit of many loyal customers.
“Plumrose USA is an excellent company, which has made significant progress over the past years and I would like to take this opportunity to thank the management and employees in Plumrose USA for their committed efforts.”
The acquisition is reported to be in line with JBS global strategy to increase its presence in the prepared foods and branded product categories.
Image: Slices of meat. Photo: courtesy of Chai25182518 via freedigitalphotos.net.