Tyson sets sights on Michael Foods: Bloomberg
SPRINGDALE, Ark. – Tyson Foods, Inc. has made a bid to acquire Michael Foods Group, Inc., a processing and distribution firm based in Minnetonka, Minn., according to a Bloomberg report. A spokesman for the company declined to comment.
Michael Foods is owned by Goldman Sachs Group. It is a leading food processor and distributor of egg and potato products in addition to other refrigerated grocery products, according to the company's website. The company reported net sales of $486.9 million for the third quarter ended Sept. 28, 2013, a 3.4 percent increase over the year ago quarter. Net earnings for the quarter were $10.6 million, compared to $8.7 million in 2012.
If successful, the acquisition would be in line with Tyson's strategy
of offering a broad portfolio of products spread over multiple distribution channels. Tyson acquired Don Julio Foods in February and Circle Foods LLC in June. The company added Bosco’s Pizza Co. to its prepared foods segment in January.
Donnie Smith, Tyson Foods CEO, added that growth through acquisitions would enable the company to be more responsive to consumers’ changing needs.