Parrish and Heimbecker (P+H) is selling its Butterball
turkey business to Exceldor, a Quebec company that will gain nation-wide
distribution from this deal.
The deal, expected to close in the third calendar
quarter of 2014, “gives us the opportunity not only to expand our operations
outside the province of Quebec, but also integrate Butterball to our portfolio
of existing brands in Canada,” Exceldor CEO Rene Proulx said in a release.
The deal includes the P+H processing plant at Hanover
and its 50 per cent stake in the Golden Valley Farms further-processing plant at Arthur. It built that
facility with Piller’s of Waterloo, now owned by Premium Brands.
P+H Foods, based in Mississauga, Ont., produces and sells
products such as whole turkeys, turkey roasts, turkey franks, turkey burgers
and turkey bacon for the Canadian market under a licensing agreement with
Butterball’s North Carolina-based parent firm.
Exceldor, which processes 1.4 million chickens and
turkeys per week at four Quebec plants, employing 1,400 people and generating
$500 million in revenues annually, expects to boost those revenues to over $625
million through the P+H deal.
“We are excited about the growth opportunities we
foresee with the Butterball brand, positioning Exceldor to be the market leader
in the turkey processing industry in Canada,” Proulx said, noting Exceldor
plans to “operate and enhance” the P+H facilities.
