… The company has hired Goldman Sachs to sell a frozen pizza crust business, after trying unsuccessfully over a number of months to find buyers for two other frozen food assets, two sources told The Post…
Tyson Foods is having trouble unloading non-chicken biz
By Josh Kosman, New York Post
February 9, 2018
Tyson Foods’ plan to focus on chicken and other proteins has been nothing to cluck home about.
The company has hired Goldman Sachs to sell a frozen pizza crust business, after trying unsuccessfully over a number of months to find buyers for two other frozen food assets, two sources told The Post.
The company, best known for its chickens, is trying to jettison food divisions whose products do not have a significant amount of protein, an investment banker said.
The effort, with investment bank Rothschild, to sell its Van’s Foods, known for waffles, and its Sara Lee food service, which sells desserts to restaurants, is troubled, sources said.
“I think those sales have gone dark,” a source said.
Meanwhile, Arkansas-based Tyson, which in 2014 merged with Hillshire Brands, and last year bought chicken parts distributor AdvancePierre Foods for $4.2 billion, is interested in more acquisitions.
CEO Tom Hayes said Thursday during Tyson’s earnings call that “we’re creating a modern food company focused on protein.”
There has been speculation among hedge fund traders that Tyson might be interested in buying listed Pinnacle Foods, but several bankers are skeptical since several of Pinnacle’s leading products, including Vlasic pickles, have little protein.
Tyson said in its earnings call it anticipates closing the Van’s, Sara Lee and a relatively small non-protein business (the pizza crust division, according to sources) sales in the back half of the year.
Initially, Tyson had hoped to get $1 billion for the Van’s, Sara Lee and Kettle soup businesses that were put up for sale nine months ago, a source said.
Tyson up to this point has only sold...