Smithfield Foods Acquires Dry Sausage Facility from Cargill, Expanding Capacity in Fast-Growing Category
SMITHFIELD, Va., June 6, 2024 /PRNewswire/ — In a strategic move to enhance its presence in the packaged meats segment, Smithfield Foods has finalized an agreement to acquire a prominent dry sausage production facility in Nashville, Tennessee, from Cargill. This acquisition underscores Smithfield’s commitment to meeting the rising demand for premium pepperoni, deli, charcuterie, and other dry sausage products.
The transaction, set to be completed by the end of July 2024 pending customary closing conditions, marks a significant milestone for Smithfield’s packaged meats business. Steve France, president of packaged meats for Smithfield Foods, emphasized the company’s dedication to staying ahead of customer preferences and driving growth in the dynamic dry sausage category.
With the addition of the Nashville facility to its operations, Smithfield anticipates a substantial increase in production capacity for its renowned dry sausage brands, including Margherita, Carando, and Armour. This strategic move aligns with projections for robust growth in the U.S. retail/deli dry sausage segment, which is forecasted to reach $6.9 billion by 2030.
Furthermore, Smithfield’s commitment to the Nashville facility’s employees is evident in its decision to extend formal job offers to approximately 160 current Cargill employees, ensuring continuity in their roles and preserving their compensation and benefits packages.
Headquartered in Smithfield, Virginia, Smithfield Foods is a global leader in protein production, with a mission to provide sustainable, high-quality food products to a rapidly growing population. The company’s acquisition of the dry sausage facility exemplifies its dedication to innovation and customer satisfaction in the evolving food industry landscape.
For more information on Smithfield Foods and its portfolio of iconic brands, visit www.smithfieldfoods.com.
Source: Smithfield Foods, Inc.