American multinational Tyson Foods has announced it intends to buy the Thai and European operations of Brazilian agri-food giant BRF S.A.
The transaction includes four processing facilities in Thailand, one in the Netherlands and one in the UK.
It follows the purchase of Keystone Foods in November, and fits with a strategy to expand operations in international markets.
Noel White, president and CEO of Tyson Foods said: “In addition to domestic benefits, the Keystone acquisition provided us with a scalable production platform in the Asian poultry market.
“The acquisition of these BRF facilities will help complement and strengthen our presence in Thailand, and provide new capabilities in Europe, enhancing our ability to serve growing global demand for value-added protein.”
Donnie King, group president of international for Tyson Foods added: “It’s estimated that approximately 90% of global protein consumption growth will occur outside the United States, with 60% of the volume growth coming from Asia over the next 5 years.
“Increasing our international footprint with in-country operations and export capabilities will help Tyson Foods strategically access new markets and better serve the growing global demand for our value-added protein.”
The Thai poultry operations include a feed mill, hatchery, breeder farms and contract growing operations supplying live birds for the four poultry processing facilities.
These four plants produce a wide range of fresh and frozen, value-added raw and fully cooked poultry products including highly specialized cuts for retail and foodservice customers throughout Asia and other export markets, including Europe.
The processing locations in the Netherlands and the United Kingdom are supported by in-house innovation capabilities for developing further-processed chicken products for retail and foodservice customers throughout Europe. Products are sold under GrabitsTM, Hot ‘N’ Kickin’Chicken, Speedy Pollo and the Sadia brands, in addition to key customer-owned brands.
It is understood Tyson is also in talks to acquire the privately owned California-based poultry producer Foster Farms.