USA — Cal- Maine Foods, a US-based producer and distributor of fresh shell eggs in the United States, has successfully completed its acquisition of various assets from Tyson Foods.
The assets include a broiler processing plant, hatchery, and feed mill located in Dexter, Missouri, USA. The financial details of this acquisition were not disclosed by either company.
According to Cal-Maine Foods, these facilities, which were closed by Tyson Foods in August 2023, will undergo remodeling and repurposing for improved shell egg and egg products production.
In a statement, Sherman Miller, Cal-Maine Foods President and CEO, stated that the company will be looking to enter into agreement with farmers that were previously contracted to Tyson to bring their plans to fruition.
“We intend to partner with the existing strong network of local contract growers who can support our shell egg production capabilities,” Sherman said.
This will come as good news to Missouri farmers, who had previously initiated legal proceedings against Tyson Foods following the closure of the company’s processing plant in Dexter, Missouri.
They accused them of breaching its contract and engaging in fraudulent misrepresentation – they incurred significant debt to modernize and upkeep their broiler and broiler breeder farms at Tyson’s request, only for the plant to shut down.
These farmers claimed that the company knew about its plans to close the processing plants as far back as November 2021 but failed to inform the growers in the region, giving them the impression that the facility would remain operational – as of March 2024, the legal case is still in progress.
Sherman Miller, president and CEO of Cal-Maine Foods, expressed optimism about the expansion of operations and the company’s integration into the Dexter community.
“We are pleased to join the Dexter community and are excited about the opportunities to expand our operations. Dexter’s central geographic location and strong work force will enhance our supply and distribution capabilities for customers in Missouri and surrounding markets,” Sherman said.
Cal-Maine Foods is one of the largest producer and distributor of shell eggs in the United States – This acquisition, along with its commitment to providing a favorable product mix of quality choices, such as cage-free and free-range eggs, will only make them grow more.
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