Spam and Skippy maker Hormel Foods has agreed to acquire family-owned chicken processor Brakebush Brothers for $1.06 billion, as the food giant moves aggressively to expand its protein portfolio to capitalize on growing consumer health and wellness trends.
Key Deal Metrics & Strategic Highlights:
Acquisition Value: $1.06 billion all-cash purchase price.
Target Revenue: Westfield, Wisconsin-based Brakebush generated nearly $1.2 billion in net sales over the last 12 months.
Target Profile: Operates across raw and cooked chicken products (patties, wings, nuggets); family-run business operating since 1925.
Financial Impact & Timeline: Deal expected to close in Q1 Fiscal 2027 and will be accretive to Hormel’s adjusted EPS starting in Fiscal 2028.
Market Response: Hormel shares rose ~2% in premarket trading following the announcement.
A major strategic acquisition allowing Hormel to strengthen its core protein footprint alongside brands like Applegate and diversify revenues following recent guidance cuts!
