October 21, 2019
Cal-Maine announces deal to acquire egg production assets of Mahard Egg Farm
Cal-Maine Foods announced in mid-October that it has reached a definitive agreement to acquire all Mahard Egg Farm's assets, relating to its commercial shell egg production, processing, distribution and sale of shell eggs business.
The assets to be acquired, subject to the completion of this transaction, include commercial shell egg production and processing facilities with a current capacity for approximately 3.9 million laying hens and permitted capacity for up to 8.0 million laying hens, a feed mill, pullets and related production facilities located in Chillicothe, Texas, the United States, and Nebo, Oklahoma, and a distribution warehouse located in Gordonville, Texas.
Cal-Maine expects to close the transaction in a few weeks.
Commenting on the announcement, Dolph Baker, chairman and chief executive officer of Cal-Maine Foods, Inc., said: "We are very pleased to announce the acquisition of these assets from Mahard Egg Farm. Cal-Maine Foods already has a market presence in Texas, and, with the addition of these facilities located near the major market areas north of Dallas, we have an opportunity to reach more customers in Texas and southern Oklahoma with this additional production capacity.
"This proposed transaction is commensurate with our strategy to grow our business through selective acquisitions, as well as through expansion of our existing facilities. We look forward to the opportunity to extend our market reach and deliver greater value to both our customers and shareholders."
- Cal-Maine Foods