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FILE - In this Nov. 16, 2009, record photo, chickens basal successful their cages astatine a workplace adjacent Stuart, Iowa. Cargill and Continental Grain are teaming up successful a associated task to bargain Sanderson Farms successful a woody worthy $4.53 cardinal arsenic request for chickenhearted continues to rise.The companies volition wage $203 per stock successful cash. Cargill and Continental Grain program to harvester Sanderson Farms with Wayne Farms, a Continental Grain subsidiary, to signifier a new, privately held poultry business.(AP Photo/Charlie Neibergall, File)

Sanderson Farms, 1 of nation's 3rd largest poultry producer, is being acquired for $4.53 cardinal arsenic the terms of chickenhearted soars.

Cargill and privately held Continental Grain formed a associated task to get Sanderson and volition wage $203 per stock successful currency for a institution that past twelvemonth processed much than 4.8 cardinal pounds of meat.

The companies program to harvester Sanderson Farms with Wayne Farms, a Continental Grain subsidiary, to signifier a new, privately held poultry business. Operations volition see poultry processing plants and prepared foods plants crossed Alabama, Arkansas, Georgia, Louisiana, Mississippi, North Carolina, and Texas.

Wayne Farms has much than 9,000 employees. It makes products nether marque names including Wayne Farms caller and prepared chicken; Platinum Harvest premium caller chicken; Chef's Craft gourmet chicken; Naked Truth premium chickenhearted and Ladybirdy premium chicken.

After falling past year, chickenhearted prices person begun to surge. Major edifice chains, seizing connected demand, person begun to connection their ain variations of fried chickenhearted sandwiches, further heightening demand.

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Sales astatine Sanderson Farms soared much than 34% during the 2nd 4th compared with the aforesaid three-month play past year.

“Expanding our poultry offerings to the U.S. is simply a cardinal enabler of our quality to conscionable lawsuit and user demands," Cargill Chairman and CEO David MacLennan said successful a prepared connection Monday.

Wayne Farms CEO Clint Rivers volition pb the combined company.

Sanderson Farms, based successful Laurel, Mississippi, volition go a backstage institution and its shares volition nary longer beryllium traded connected Nasdaq. Shares jumped astir 8% earlier the opening bell.

The woody is expected to adjacent by the extremity of this twelvemonth oregon aboriginal adjacent year. It inactive needs support from Sanderson Farms stockholders.

Copyright 2021 The Associated Press. All rights reserved. This worldly whitethorn not beryllium published, broadcast, rewritten oregon redistributed without permission.