A PYMNTS Company

US: Pilgrim’s reacts to Tyson bid for Hillshire with jumbo offer

 |  June 3, 2014

A bidding war is brewing within the US food industry as rival bids for Hillshire Brands continue to heat up.

According to reports, Pilgrim’s Pride has put forward a nearly $8 billion offer for Hillshire in response to rival Tyson’s $6.8 billion bid.

Tyson announced its bid after Pilgrim’s first offered $6.4 billion – an offer that was itself a controversial bid, as Pilgrim’s said it would only acquire Hillshire if Hillshire abandons its own acquisition pursuit of Pinnacle Foods.

Pilgrim’s confirmed the increased acquisition offer on Tuesday, a bid that stacks up at $55 per share and amounting to about $7.7 billion. Pilgrim’s also said it has the support of its majority shareholder, Brazil-based meat company JBS, to acquire its US rival.

Hillshire issued a response to the spark in bids and said the company is initiating separate discussions with Tyson and Pilgrim’s to discuss a possible deal, but added that no buyout agreement was guaranteed.

Full content: Forbes

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.