CFIUS clears Shuanghui, Smithfield deal

HONG KONG and SMITHFIELD, Virginia, USA – On 29 May, Shuanghui International Holdings Limited and US pork producer, Smithfield Foods, Inc, entered into a definitive merger agreement. Recently, the deal between these companies was given the thumbs-up by the Committee on Foreign Investment in the United States (CFIUS).  Likewise, they reported receiving governmental merger clearance in Ukraine. 

Under the terms of agreement in May, Smithfield shareholders will receive $34.00 per share in cash for each share of Smithfield common stock that they own. Upon consummation of the transaction, Smithfield will continue to operate under its existing brand names as a wholly owned subsidiary of Shuanghui International . 

At a special meeting on 24 September, Smithfield shareholders will have their say on the transaction, which is expected to be closed shortly thereafter. 

"This transaction will create a leading global animal protein enterprise," said Zhijun Yang, CEO of Shuanghui International. "Shuanghui International and Smithfield have a long and consistent track record of providing customers around the world with high-quality food, and we look forward to moving ahead together as one company."