smithfield agrees to takeover by china\s shuanghui
Last Updated : GMT 11:23:37
Arab Today, arab today
Arab Today, arab today

Smithfield agrees to takeover by China\'s Shuanghui

Arab Today, arab today

Arab Today, arab today Smithfield agrees to takeover by China\'s Shuanghui

Washington - AFP

Shuanghui International won the largest ever Chinese takeover of a US company Tuesday when shareholders of pork giant Smithfield Foods approved its $7.1 billion offer. The deal locks in for Shuanghui and the giant Chinese market a strong supply from the world\'s largest pig raiser and pork processor. Smithfield said the deal received 96 percent of the votes cast at a special shareholders meeting, despite an earlier challenge by a key investor arguing that it undervalued Smithfield. Smithfield president and chief executive Larry Pope called the deal \"a great transaction for all Smithfield stakeholders, as well as for American farmers and US agriculture.\" Shuanghui, China\'s leading meat processor, will pay $4.5 billion in cash, $34 a share, for Smithfield, an iconic name in American kitchens with $13 billion in annual sales. Including Smithfield debt, the deal\'s value comes to $7.1 billion. The deal had to clear a number of hurdles, including questions from some politicians worried about Chinese control of a company deeply part of the US food system, and a review by the national security-focused Committee on Foreign Investment in the United States. CFIUS gave the deal a green light in early September, but then the companies also had to beat objections by hedge fund Starboard Value, a major shareholder, which said that Smithfield if broken up could be worth nearly $11 billion. Starboard had sought more time to assemble a group of alternative buyers, but was unable to do so before Tuesday\'s shareholder vote. Last Friday it admitted failure and announced that it would back the Shuanghui deal. Shuanghui International is a holding company based in Hong Kong, controlling the Shuanghui Group and Henan Shuanghui Development, which it calls China\'s largest meat processing operation. It reported $6.2 billion in revenues last year, mainly from meat processing and distribution through 13 Chinese provinces. The Smithfield deal will help Shuanghui satisfy China\'s hunger for pork, after the country\'s imports more than tripled between 2005 and 2010, to nearly two million tonnes a year. But US sales to China have fallen over the past year as Beijing said American exporters had to prove their pork free of ractopamine, a synthetic swine feed supplement aimed at boosting the animal\'s weight. China, Russia and the European Union have expressed worries that the supplement raises health risks for consumers. In February Smithfield announced that it was eliminating ractopamine from its farms and plants expressly to comply with requirements in China. That opened the way for the Shuanghui deal. Shuanghui has said it would maintain the Smithfield name and its huge farm and processing facilities, as well as the corporate headquarters in Smithfield, Virginia. \"The partnership is all about growth, and about doing more business at home and abroad,\" said Pope in a statement. \"It will remain business as usual -- only better -- at Smithfield, and we look forward to embarking on this new chapter.\" The companies expect to close the deal on Thursday. Smithfield shares closed unchanged at $33.98 on the New York Stock Exchange.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

smithfield agrees to takeover by china\s shuanghui smithfield agrees to takeover by china\s shuanghui

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

smithfield agrees to takeover by china\s shuanghui smithfield agrees to takeover by china\s shuanghui

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Saudis clear passenger flights

GMT 08:38 2017 Saturday ,25 November

Saudis clear passenger flights
Arab Today, arab today Sophian Yussef reveals suitable decoration

GMT 02:56 2017 Thursday ,23 November

Sophian Yussef reveals suitable decoration
Arab Today, arab today Syria congress to go ahead

GMT 02:24 2017 Friday ,24 November

Syria congress to go ahead
Arab Today, arab today IS media offline for a day

GMT 02:10 2017 Friday ,24 November

IS media offline for a day
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Human form of 'mad cow' disease

GMT 00:11 2017 Friday ,24 November

Human form of 'mad cow' disease
Arab Today, arab today British woman jailed in Iran to appear

GMT 03:19 2017 Friday ,24 November

British woman jailed in Iran to appear
Arab Today, arab today 'Trash islands' off Central America indicate

GMT 20:19 2017 Friday ,24 November

'Trash islands' off Central America indicate
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mitsubishi Materials units falsified product

GMT 03:24 2017 Friday ,24 November

Mitsubishi Materials units falsified product
Arab Today, arab today 'Robo-taxis' hold promise, and perils

GMT 08:07 2017 Thursday ,23 November

'Robo-taxis' hold promise, and perils
Arab Today, arab today Heidy underlines works like “Seventh Neighbor”

GMT 13:59 2017 Thursday ,23 November

Heidy underlines works like “Seventh Neighbor”
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead

GMT 07:56 2017 Wednesday ,22 November

Solaf happy for participating in “Hotline”

GMT 08:03 2017 Thursday ,23 November

Srebrenica women cry tears of joy

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts

GMT 07:53 2017 Friday ,24 November

To Debate Ethics of Euthanasia

GMT 10:39 2017 Thursday ,23 November

Air China suspends flights to North Korea

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday