• Tyson moving forward with Hillshire deal

    by  • July 2, 2014 • News

    SPRINGDALE, Ark. (AP) — Tyson Foods Inc. has signed a definitive deal to purchase Hillshire Brands Co. for $7.75 billion, Tyson-Hillshire-Brand_Mitc-1024x711two days after the maker of Jimmy Dean sausages and Ball Park hot dogs was let out of its agreement to buy Pinnacle Foods.

    Chicago-based Hillshire agreed to buy Pinnacle Foods Inc. for $4.23 billion in May. But then Tyson and Pilgrim’s Pride got into a bidding war for Hillshire, with Hillshire accepting Tyson’s $63 per share offer last month. The deal with Tyson — which is valued by the companies at about $8.55 billion, including debt — was contingent on Hillshire walking away from its deal with Pinnacle.

    Springdale, Arkansas-based Tyson said Wednesday that it will pay the $163 million termination fee to Pinnacle.

    Tyson’s acquisition of Hillshire is expected to close by Sept. 27.