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Tuesday, July 21, 2015
Bachoco acquires Morris Hatchery Georgia assets
Bachoco, Mexico's leading producer and processor of poultry and other food products, has reached an agreement to acquire Morris Hatchery’s breeding assets in the state of Georgia.
The acquisition, announced on July 13, will take effect immediately. Financial terms of the transaction were not announced.
These assets comprise mainly bird inventory and equipment. This operation in Georgia has a capacity of around one million laying hens that produces hatching eggs.
"This is the next step to strengthen this particular stage of our supply chain, which allows us to support the organic growth of the company and, at the same time, increase our geographical dispersion and reduce risky situations," said Rodolfo Ramos, CEO of Bachoco. In 2013, Bachoco acquired the breeding assets in the state of Arkansas of Morris Hatchery Inc. The Arkansas operation, at the time of the acquisition, had a capacity of about 350 thousand laying hens that produce hatching eggs.
The most recent acquisition follows statements made by Bachoco leaders in 2014 that the company was in search of acquisitions to grow its operations in the United States and gain a larger share of the global chicken market.
Bachoco is the parent company of U.S.-based broiler company OK Foods.