Tyson Foods is expanding its global protein production footprint with the $340 million purchase of the Thai and European operations of BRF.
The deal grants the food major access to four poultry processing facilities in Thailand, one in the Netherlands and another in the UK.
The company said the deals builds on its growth strategy to “expand offerings of value-added protein in global markets”.
The vertically integrated poultry operations in Thailand include a feed mill, hatchery, breeder farms and contract growing operations supplying live birds for the four poultry processing facilities.
The plants produce a wide range of fresh and frozen, value-added raw and fully cooked poultry products including highly specialised cuts for retail and foodservice customers throughout Asia and other export markets.
The processing locations in the Netherlands and the UK are supported by in-house innovation capabilities for developing further-processed chicken products for retail and foodservice customers throughout Europe.
Products are sold under Grabits, Hot ‘N’ Kickin’Chicken, Speedy Pollo and the Sadia brands, in addition to key customer-owned brands.
“As noted when we acquired Keystone Foods… we believe some of our biggest growth opportunities are in value-added foods and international markets,” said Noel White, president and CEO of Tyson Foods.
He added: “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, said: “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.”