Foster Farms, the major West Coast broiler producer with complexes in California, Washington state, Oregon and additional farms in Louisiana, Alabama and Colorado, has been acquired by Atlas Holdings, an investment conglomerate. Foster Farms, ranked 10th among U.S. broiler producers, has annual revenue of $2 billion, employs over 12,000 and has been under family ownership for over 80 years.
Atlas has appointed Donnie Smith, former CEO of Tyson Foods, as Chairman and CEO of the company. In commenting on the acquisition and appointment, Smith stated, “I have long been an admirer of the Foster family and the business they built over the past eight decades.” He added, “In this new era we will maintain and further that legacy, rooted in animal welfare, superior product quality, customer service and community engagement.”
Previously Tyson Foods considered acquisition of Foster Farms but the transaction did not progress beyond initial due diligence. Given the present antagonism towards agribusiness it is doubtful whether the Administration would bless a takeover by a top 10 broiler integration.
Atlas Holdings is based in Greenwich, CT and owns 25 enterprises in diverse industries including building materials, food manufacturing and distribution, power generation and wood products. According to the Wall Street Journal, the holding company generates $15 billion in annual revenue. Details of the transaction were not announced.