• The acquisition would strengthen Cal-Maine’s presence across Texas and southern Oklahoma. 
• It will include purchase of commercial shell egg production and processing facilities of Mahard.

Cal-Maine Foods Inc., a Jackson-based fresh egg producer, has reportedly announced that it has closed the acquisition of poultry company Mahard Egg Farm Inc.’s assets that are associated with egg production, processing, sale and distribution business.

According to reports, the acquisition entails commercial shell egg production & processing facilities with a capacity for around 3.9 million laying hens and a permitted capacity of around 8 million laying hens. Moreover, the company has purchased a feed mill, pullets and related production facilities located in Nebo, Oklahoma and Chillicothe, Texas.

Cal-Maine Foods is primarily engaged in grading, production, packaging, and sales of shell eggs. The company’s offering includes cage-free, organic, conventional and nutritionally enhanced eggs. It is the largest producer of fresh shell eggs in the U.S, and distributes most of its shell eggs across southeastern, southwestern, mid-Atlantic, mid-western regions.

Meanwhile, Mahard Egg Farm supplies its eggs to numerous food service supply companies, food chain stores, and distribution warehouses across Texas and Oklahoma.

Dolph Baker, CEO and Chairman, Cal-Maine Foods, said that the company is pleased to announce this acquisition of Mahard Egg Farm’s assets. Their company has a strong market presence in Texas and, with the addition of these facilities situated near the north of Dallas, it would reach more customers in Texas, and Southern Oklahoma. 

Baker added that this move is in line with its strategy to expand shell egg business through selective acquisitions, as well as through extension of its existing facilities. Moreover, the company is looking forward to enhancing its market reach to offer greater value to shareholders as well as customers. 

Reliable reports cite that this acquisition comes few months after Cal-Maine Foods indicated plans to ink a definitive agreement to purchase assets of Mahard Egg Farm.
 

Source Credit - https://finance.yahoo.com/news/cal-maine-foods-inc-completes-221200072.html