La Broquerie, Manitoba-based HyLife announced today it is being bought by Thailand’s Charoen Pokphand Foods Pcl (CPF) for $498 million.
HyLife is a vertically-integrated pork production company, from feed processing, to hog production, and pork processing and distribution of pork products. HyLife employs over 2,500 people, and has processing plants in Canada, including Neepawa, Man., and Mexico.
The purchase price of HyLife Investments gives CPS a majority stake in the company at (50.1%) with its Japanese business partner, Itochu Corp, holding the balance.
HyLife says CPF will “propel HyLife’s growth into the fast-growing Asian, North American and international markets” showcasing Manitoba grown and produced pork.
“This is a win-win for HyLife, CPF, and Manitoba’s agricultural industry. Through this agreement, we will build on the success of our growing pork business and brands to our customers globally, including our fresh chilled pork products to Japan which we proudly grow and process right here in Manitoba.”says Grant Lazaruk, CEO of HyLife, in a press release.
The transaction is subject to conditions and Canadian and international regulatory approvals, and is expected to close during the third quarter of 2019.
HyLife produces 2.3 million hogs and processes 2 million hogs annually, with the pork being sold to over 20 countries. CPF is Thailand’s largest listed agro-industrial and food conglomerate, operating in 17 countries, and exports products from Thailand to over 30 countries. The company operates in both the livestock (swine, broilers, layers, and ducks) and aquaculture (shrimp and fish) businesses. The vertically integrated businesses incorporate the manufacturing of animal feed, animal breeding, and animal farming; meat processing, the manufacturing of semi-cooked meat and fully-cooked meat; food products and ready meal products, as well as the meat and food retailer and restaurant businesses.
Hear Shaun Haney’s discussion with Hylife President Claude Vielfaure below.
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