Tyson Foods Inc. (NYSE: TSN) continues to accelerate the strategic expansion of its value-added foods portfolio with the acquisition of the assets of Circle Foods LLC, a producer of frozen and refrigerated handheld Mexican foods, uncooked tortillas and Indian flatbreads, from Claridge, officials of both companies announced today.
California-based Circle Foods has been in business for 25 years and is known for branded products that include NUEVO GRILLE® and TORTILLALAND® handheld Mexican products, TORTILLALAND® uncooked tortillas and ROTILAND® Indian flatbreads. The company, which operates a state-of-the-art plant in San Diego, also produces private label products for various customers.
Terms of the acquisition, which was completed June 1, were not disclosed. Tyson Foods does not plan any significant operational changes and intends to keep the existing Circle Foods management and production team in place to grow the business. The operation currently has approximately 600 full-time employees.
"Claridge and the Circle Foods team have developed an outstanding portfolio of products and customers, with a fantastic plant and workforce, and will be an excellent fit within our branded consumer products group," said Donnie Smith, president and CEO of Tyson Foods. "We believe Tyson's robust sales structure, as well as our frozen and refrigerated foods distribution system will enable this business to accelerate its growth."
"We are delighted to see the transition of Circle Foods to Tyson Foods who are committed to continue the growth of the business. Right from the beginning when we met the Tyson people and organization we knew we had an excellent partner we could work with on this transaction," said Stephen Bronfman, executive chairman of Claridge. "We are confident that Circle Foods will flourish under Tyson's ownership."
Circle Foods' 159,000 square foot facility in San Diego was built in 2008 and has been recognized for its outstanding food safety management system. The plant produces burritos, chimichangas, enchiladas, quesadillas, tacos and tamales, as well as tortillas and Indian flat breads.