Source: MEATINGPLACE, 2/5/19

Tyson Foods has held talks about buying California-based poultry processor Foster Farms for roughly $2 billion, people familiar with the situation told CNBC.

The network reported disagreement over price and noted that if a deal is reached, it could be “at least several weeks away.”

A Tyson Foods spokesman told Meatingplacethe company does not comment on rumors.  Foster Farms did not respond to a request for comment. 

In August 2018, Tyson Foods purchased Keystone Foods for about $2.1 billion. Keystone processes poultry, beef, fish and pork, including supplying chicken nuggets to McDonald’s. That purchase expanded Tyson’s foodservice business, as well as its international footprint in Asia. 

In 2017, Tyson Foods bought sandwich maker AdvancePierre Foods in a transaction valued at about $4.2 billion. 

In 2014, Tyson Foods bought Hillshire Brands in a transaction valued at the time at $8.55 billion, adding Hillshire’s strong brands of sausage, hot dogs and deli meats to Tyson’s product portfolio.  

Foster Farms produces branded chicken, turkey and frozen foods.

Tyson Foods CEO Noel White was quoted in November 2018 as saying on an earnings conference call that his priority was “to grow our business in prepared foods, value-added products and in the international market, simultaneously working to provide stability with more of the commodity portions of our business."

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