US: Pilgrim’s Pride entices Hillshire to scrap Pinnacle buy

Hillshire Brands is reportedly set to acquire Pinnacle Foods for $4.2 billion, but the deal could now be in jeopardy as competing food producer Pilgrim’s Pride is reportedly seeking to acquire Hillshire, only if Hillshire abandons its bid for Pinnacle.

According to reports, Pilgrim’s Pride is willing to pay $6.4 billion for Hillshire to ends its Pinnacle acquisition attempt ad instead be acquired itself. The deal seems enticing, according to reports, as Pilgrim’s Pride also offered to pay Hillshire’s breakup fee of $163 million to Pinnacle.

Pilgrim’s Pride released a statement to promote the deal, saying the acquisition would likely be finalized as early as the third quarter of this year.

Pilgrim’s said its largest shareholder, Brazilian meat conglomerate JBS, has already given its support of the acquisition.

Pinnacle did not respond to comment regarding the matter.

Full content: Forbes

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