Tyson Foods To Buy Hillshire Brands For About $8.55 Bln - Quick Facts

(RTTNews) - Meat producer Tyson Foods Inc. (TSN) has reached a definitive merger deal to acquire Hillshire Brands Co.'s (HSH) outstanding shares for $63 per share. This all-cash deal is worth nearly $8.55 billion, including Hillshire Brands' outstanding net debt.

Further, on behalf of Hillshire Brands, Tyson Foods would pay $163 million termination fee associated with the termination of Hillshire Brands' merger deal with Pinnacle Foods Inc. (PF). Hillshire's board has accepted the notice of termination received from Pinnacle Foods and the prior announced transaction has been terminated.

The companies said the Tyson Foods-Hillshire Brands combination would reposition Tyson as a clear leader in the retail sale of prepared foods, with a complementary portfolio of well-recognized brands, including Tyson, Wright, Jimmy Dean, Ball Park, State Fair and Hillshire Farm.

The transaction may close by September 27, 2014, the last day of Tyson Foods' fiscal year. As part of the deal, Tyson Foods' subsidiary would begin a tender offer for all outstanding shares of Hillshire Brands for $63 per share. The tender offer is required to be commenced within 10 business days and to remain open for at least 20 business days after launch.