Tyson Finalizes Keystone Foods Acquisition from Marfrig
Tyson Foods, Inc. has completed the $2.16 billion purchase of Keystone Foods from São Paulo, Brazil-based Marfrig Global Foods. Keystone is a major supplier of chicken, beef, fish and pork to the world’s leading quick service restaurant chains and other foodservice outlets as well as to retail and convenience store channels. Its value-added product portfolio includes such items as frozen chicken nuggets, wings and tenders, beef patties and breaded fish fillets.
“Our biggest growth opportunities are in value-added foods and international markets. Our acquisition of Keystone helps us achieve both,” said Noel White, president and chief executive officer of Springdale, Arkansas, USA-headquartered Tyson Foods. “The addition of Keystone’s team, industry expertise and international operations strengthens our capabilities.”
This acquisition involves eight plants and three innovation centers in China, South Korea, Malaysia, Thailand and Australia that will help meet growing international demand. Tyson also is gaining an innovation center and six processing plants in the United States with operations in Alabama, Georgia, Kentucky, North Carolina, Pennsylvania and Wisconsin.
A beef packing plant in Ohio with capacity to make 91,000 patties per year was excluded from the deal. Marfrig, which bought Keystone in 2010 for $1.2 billion, said that the sale to Tyson enables it to focus more on the beef business, in line with its purchase of National Beef Packing Company LLC earlier this year.
Employing more than 11,000 people around the world, West Chester, Pennsylvania, USA-headquartered Keystone rang up sales of approximately $2.7 billion last year.
“We’ll work to make the integration of Keystone as seamless as possible while maintaining high levels of service to our customers,” White said. “An integration management office has been formed with leaders from both companies who will lead us through the process. I look forward to all we can accomplish together as one Tyson Foods.”
Tyson Foods, Inc. is one of the world’s largest food companies and a recognized leader in the protein sector. Founded in 1935 by John W. Tyson and expanded under three generations of family leadership, the company has a broad portfolio of products and brands that include Tyson, Jimmy Dean, Hillshire Farm, Ball Park, Wright, Aidells, ibp and State Fair. The company has a global workforce of 121,000 people.