Food In Canada

It’s not just chicken anymore, it’s beef and pork, too

By Food in Canada staff   

Business Operations acquisition meat processors poultry processor Sofina Foods Inc.

Sofina Foods Inc. has acquired Lilydale Inc. in a transaction valued at more than $130 million.

Through the transaction, Edmonton-based Lilydale will become a wholly owned subsidiary of Markham, Ont.-based Sofina Foods.

“Over the past several years,” said Don Sundgaard, Lilydale’s chairman of the board, “Lilydale has been approached by a number of different companies regarding potential transactions; however, the company did not feel that any of those potential suitors were the right fit until now.”

What the deal means

Lilydale manufactures fresh and frozen poultry, deli, sausage and meat snacks under the brands Lilydale, Tailgate, Daystarters, Country Fair, Roast & Boast and ZamZam.

Sofina is a privately owned company that manufactures and distributes further processed pork, beef and poultry products for retail and foodservice customers in Canada, the U.S. and Japan.

Its portfolio includes Fletcher’s, Cuddy, Quality Meats and Vienna brands, as well as its private label business.

Combined the two companies will create a national entity with a combined sales revenue of more than $800 million and a workforce of more than 3,300.

Both companies say Lilydale’s strengths in Western Canada and its poultry primary processing complement Sofina’s strengths in Eastern Canada and its further processed products of beef, pork and poultry. 

The combined businesses will supply retail and foodservice markets across Canada and into the Western U.S. with 12 manufacturing facilities in both primary and further processing operations in B.C., Alberta, Saskatchewan, Ontario and Washington State. 

Sofina also announced that it has committed to invest a further $20 million over the next two years into Lilydale for operations and facility improvements.

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