Peco, Omtron to buy Townsends
Feb. 18, 2011
by Keith Nunes
GEORGETOWN, DEL. – Peco Foods, Inc. will acquire Townsends, Inc.’s Arkansas division for $51.4 million, and Omtron Ltd. has agreed to buy Townsends North Carolina division, its headquarters in Georgetown and certain other assets for $24.9 million. The U.S. Bankruptcy Court for the District of Delaware issued its final approval for the transactions on Feb. 17.
Peco Foods is an integrated poultry processor with operations in Alabama and Mississippi. Omtron is a division of Agroholding Avangard, Ukraine’s largest producer of eggs and egg products.
“We are extremely satisfied with the result we were able to achieve from the auction,” said Frederick B. Beilstein III, chief executive officer. “After carefully considering the various bids, Townsends’ management and board of directors determined that selling its Arkansas operating division to Peco Foods and its North Carolina operating division and corporate headquarters to Omtron presented the best scenario available for all of our stakeholders.”
Townsends, Inc. filed for Chapter 11 bankruptcy protection on Dec. 19, 2010.