AUSTIN, MINN. — Hormel Foods Corporation and Herdez Del Fuerte S.A. de C.V., have closed a joint venture agreement to create MegaMex Foods, LLC, which will market Mexican foods in the U.S. The venture expands the existing agreement between the two companies and produces a portfolio with initial revenue of about $200 million.
MegaMex Foods has a portfolio that includes brands such as Chi-Chi’s, Herdez, La Victoria, Embasa and Doña María, among others, which resonate with Mexican-American and mainstream consumers of Mexican foods.
"This new venture takes our relationship with Hormel Foods to the next level, and it is a win-win all around," said Enrique Hernández-Pons Torres, chairman of the board, MegaMex Foods. "By forming MegaMex Foods, we are able to better serve our retail and foodservice partners and consumers while positioning our businesses for long-term growth."
"The close of this exciting transaction marks the beginning of new leadership in the Mexican foods category in the U.S. with MegaMex Foods," said Luis G. Marconi, managing director at MegaMex Foods. "We look forward to growing the Mexican foods category by serving as a one-stop-shop for our retail partners, with brands and products that appeal to consumers across geographies and demographics."
Mr. Marconi told MEATPOULTRY.com, "Our current MegaMex Foods portfolio includes several meat products, including Chi-Chi’s taco tubs and Chi-Chi’s Fiesta Plates. Chi-Chi’s taco tubs are 18-ounce microwave-ready, resealable tubs of beef or chicken. Chi-Chi’s Fiesta Plates are microwaveable entrées, available in three varieties: Creamy Chipotle Chicken, Savory Garlic Chicken and Salsa Chicken.
"While there is potential for us to further diversity our MegaMex Foods portfolio to offer additional meat products, it is too early for us to discuss such possibilities," he added.