Hormel Foods Corp. has reached an agreement to acquire chicken producer Brakebush Brothers in a deal valued at $1.055 billion, company officials announced Wednesday.
The Minnesota-based meat and chili producer, which also owns the Spam, Dinty Moore and Planters brands, said that the move would bolster its position in high-protein products, as well as strengthen its foodservice platform. Company officials also expect the transaction to generate growth, improve cash flows and unlock “operational synergies.”
The deal is expected to close in the first quarter of Hormel's 2027 fiscal year, which spans late this year and early next year.
"Chicken has been one of the most attractive growth categories in protein, and Brakebush has built an exceptional platform to serve that demand," John Ghingo, Hormel’s incoming CEO, said in the announcement.
Brakebush, based in central Wisconsin, is owned by the Brakebush family and dates back to 1925. It operates five production facilities and two R&D labs, and Hormel said that the business generated net sales of $1.2 billion in “the last 12 months.”
"Brakebush has always been a people-first company, built on strong relationships, shared values and a commitment to doing business the right way," Brakebush Chairman Carey Brakebush said. "We see those same qualities in Hormel Foods.”
