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Acquisitions and mergers

Tyson Foods Acquires Smart Chicken Organic Chicken Brand

Tyson Foods Inc. has acquired Nebraska-based Tecumseh Poultry LLC, a producer of air-chilled, fresh chicken, deli-style chicken and a variety of chicken sausages, including its organic Smart Chicken® brand for an undisclosed amount.

The deal increases Tyson’s footprint in the fast-growing organic chicken category that witnessed sales volume grow by 8.6 percent from 2016 to 2017, more than four times the rate of conventional poultry, according to Nielsen’s Perishables data.

The company’s operations include two plants located in Tecumseh and Waverly, Nebraska, as well as live operations. Tyson Foods plans to operate Tecumseh Poultry as a separate, wholly owned subsidiary and expects to retain its approximately 600 team members, including operations staff, sales teams and management.

Tyson Foods has spent $12 billion on deals over the last five years to expand its presence in grocery stores and restaurants, especially in higher profit brand-name products. Tyson Food’s brand portfolio includes Tyson®, Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, Aidells®, ibp® and State Fair®. The company’s organic products are sold under the NatureRaised Farms® and Aidells® brands.

“Consumers want choices. More and more consumers want options for fresh, organic food that fits their lifestyles,” said Eric Schwartz, chief marketing officer of Poultry for Tyson Foods. “The Smart Chicken brand is a leader in this key organic category, and the category’s growth makes this acquisition a strategic fit for Tyson Foods.”

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