RIDGELAND, MISS. — Egg producer Cal-Maine Foods Inc. has agreed to acquire breakfast foods maker Echo Lake Foods Inc. in a $258 million deal.

Ridgeland-based Cal-Maine announced the Echo Lake transaction after the April 8 market close in reporting results for fiscal 2025 third quarter ended March 1. The company said the deal, made after the quarter’s close, will be funded with available cash on hand, and the purchase price excludes expected tax assets from the transaction.

Echo Lake Foods, based in Burlington, Wis., manufactures and distributes ready-to-eat egg products and breakfast foods, including waffles, pancakes, French toast, scrambled eggs, frozen cooked omelets, egg patties and diced eggs. The company generated 2024 revenue of about $240 million and has a five-year compound annual growth rate of roughly 10%, Cal-Maine said.

The nation’s largest producer and distributor of fresh shell eggs, Cal-Maine offers conventional, cage-free, organic, brown, free-range, pasture-raised and nutritionally enhanced eggs plus a range of ready-to-eat egg products. Cal-Maine said the addition of Echo Lake will bring entry into the “large, growing and highly stable value-added food portion” of the egg category; expand relationships with retail, quick-service restaurant and other foodservice customers; and create “significant synergies” from egg purchasing and other operational efficiencies.

“This transaction represents an exciting growth opportunity and important inflection point for Cal-Maine Foods, advancing our strategy to expand and diversify our product portfolio and customer mix,” said Sherman Miller, president and chief executive officer of Cal-Maine. “Echo Lake Foods is a leading innovator, with a long history of providing quality, ready-to-eat egg products and breakfast foods to a blue-chip customer base. The combined product lines and capabilities of the two companies are highly complementary and, importantly, we share similar values of pursuing operating excellence and meeting the needs of our customers. We believe the potential acquisition of Echo Lake Foods meets our disciplined set of investment criteria, including relevant geographic markets, operating synergies, product mix, proximity to customers and expected financial returns.”

Plans call for Echo Lake to operate as a stand-alone business unit within Cal-Maine’s operations. Overall, Echo Lake operates four production plants, including in Burlington and Franksville, Wis.; Huntington, Ind.; and Owensboro, Ky.  Cal-Maine noted that, when the acquisition closes, Echo Lake will be able to leverage its extensive sales and supply chain distribution capabilities.

“The addition of Echo Lake Foods will supplement our other ready-to-eat egg product offerings, including hard-cooked eggs for retail, quick-service restaurant and other foodservice needs from our expanded MeadowCreek Foods operation, and ready-to-eat egg products including egg wraps, protein pancakes, crepes, and wrap-ups from our joint venture with Crepini Foods LLC,” Miller said.

“Importantly, diversifying our product portfolio offers a strong, high-return potential that complements our existing organic growth opportunities. The Echo Lake Foods team has built a terrific business, and we look forward to working together on a successful integration and delivering on a unique opportunity for our customers and shareholders.”

When the acquisition is finalized, Echo Lake CEO Kathy Brodhagen will join Cal-Maine Foods’ senior management team as president of Echo Lake Foods. Founded in 1941, Echo Lake Foods was acquired by the Meinerz family in 1981.

“We are excited to have the opportunity for Echo Lake Foods to join Cal-Maine Foods and continue to expand our market reach for quality ready-to-eat egg products and breakfast foods,” Brodhagen said. “This business combination will benefit everyone associated with Echo Lake Foods, especially our dedicated employees and valued customers. As the leading producer and distributor of fresh shell eggs in the nation, Cal-Maine Foods has an excellent reputation with a proven record of success. We are extremely proud to join their team, and we look forward to the significant growth opportunities ahead of us.”

Cal-Maine expects to close the Echo Lake transaction by the end of fiscal 2025, pending regulatory approvals and customary closing conditions. The deal has been approved by both companies’ boards of directors and isn’t subject to shareholder approval.