Brazil-based Pilgrim’s Pride has announced that it has signed a contract to acquire Tulip, a leading pork supplier which has operations in the UK.
The £290m transaction will create one of the largest integrated prepared foods businesses in the UK.
Pilgrim’s, which employs more than 51,400 people and operates in the US, UK and Europe, said the move will position the company as a 'global prepared foods player'.
Jayson Penn, global chief executive officer, said: “The transaction represents the logical next step in our evolution to expand our geographical footprint, enhance our value-added portfolio and reduce volatility across our business with a more stable margin profile.
“Tulip's integrated production platform, consumer ready innovation capabilities, well-invested assets, established customer relationships and strong leadership team will solidify Pilgrim’s platform for growth in the attractive UK market.”
Tulip, owned by Danish Crown, employees more than 6,000 people and provides a wide range of meat products.
The company is the UK's largest pig producer and operates 12 production facilities throughout the country.
Andrew Cracknell, CEO of Tulip, said: “Pilgrim’s is acquiring an industry-leading farming operation, a strong team of dedicated people and a network of well-invested manufacturing sites.
“Our companies share a rich heritage in agriculture and food production with aligned values that put people and customers at the heart of all we do.”