Smithfield Foods has announced that the merger of Campofrio Alimentacion and Group Smithfield Holdings has been finalised. The new company will be known as Campofrio Food Group and will be listed on the Madrid and Barcelona Stock Exchanges.
The merger creates the largest pan-European company in the packaged meats sector and one of the five largest worldwide. The company is the market leader in Spain, France, Portugal and The Netherlands, and maintains an important presence in Romania, Germany, the United Kingdom, Italy and Belgium.
Smithfield Foods owns 37% or approximately 37.8 million shares of the new company. Previously Smithfield owned 24% of Campofrio and 50% of Groupe Smithfield. Other significant shareholders are Oaktree Capital (24%), Pedro and Fernando Ballve (12%), Diaz Family and Luis Serrano (5%), Caja Burgos (4%t) and QMC (2%). The remaining 16% will be held by the public.
“This is a major step in Smithfield’s strategy to grow and improve its global packaged meats presence. The companies have complimentary manufacturing and marketing platforms, presenting the opportunity for value creation and synergies,” said C. Larry Pope, Smithfield Foods president and chief executive officer.