JBS USA, Greeley, Colo., announced a definitive share purchase agreement with Danish Crown A/S, Denmark, to acquire Plumrose USA, a Downers Grove, Ill.-based bacon, ham and deli meat business, for $230 million.
“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,” says Andre Nogueira, chief executive officer of JBS. “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. We are excited to welcome the more than 1,200 dedicated team members of Plumrose USA to JBS, and look forward to building on the legacy of high-quality products and outstanding service established by Danish Crown.”
The acquisition includes five prepared foods facilities, including one in Elkhart, Ind., two in Council Bluffs, Iowa, one in Booneville, Miss., and one in Swanton, Vt., and two distribution centers in South Bend, Ind., and Tupelo, Miss., respectively. Plumrose offers an array of branded, prepared foods such as bacon, hams, sliced deli meats and cooked ribs. Plumrose annual net revenues are estimated at $500 million.
“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,” says Jais Valeur, group CEO of Danish Crown. “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.”
“This is exciting news for Plumrose USA, as JBS USA’s business is very complementary to ours and offers opportunities for us to grow and thrive,” says Dave Schanzer, chief executive officer of Plumrose USA. “JBS USA has values similar to Plumrose USA, and believes people make the difference. They believe that their greatest strength is not their physical assets or business model, but their people.”