Pilgrim's Pride is seeking court approval to sell its stake in a grain elevator business to joint venture partner Archer Daniels Midland Co. without a court-supervised auction, according to papers filed in U.S. Bankruptcy Court in Fort Worth, Texas.

The Pittsburg, Texas-based poultry processor, which filed for bankruptcy in December, wants to sell its interest in the grain elevator business for $5 million after putting the business up for sale attracted only one offer, which would have netted Pilgrim's less than a sale to ADM.

Pilgrim's also said ADM has a right of refusal to any deal and would prevent a sale of Pilgrim's stake in the business to any other company.

A hearing on the matter is scheduled for Feb. 10.

For more stories, go to www.meatingplace.com.