China’s largest meat processor acquires Smithfield

Hong Kong-based Shuanghui International Holdings Ltd., a majority shareholder of China’s largest meat-processing enterprise, has entered an agreement to acquire Smithfield Foods Inc. for approximately $7.1 billion, including assumption of debt. The acquisition positions Smithfield to expand its offerings in China through Shuanghui’s distribution network. Shuanghui will acquire all of Smithfield’s outstanding shares for $34 per share in cash, which is a 31 percent premium to Smithfield’s closing stock price of $25.97 on May 28. Smithfield’s stock price rose nearly 28 percent to $33.20 before the market opened on May 29. Read More