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Smithfield Foods purchases JV partner Kansas City Sausage

FBR Staff Writer Published 16 August 2017

US-based meat-processing company Smithfield Foods has acquired Kansas City Sausage for an undisclosed price to grow its packaged meats business and boost its supply chain.

Kansas City Sausage is a pre-rigor sausage producer and processor with whom Smithfield had formed a 50/50 joint venture (JV) in 2013.

The sausage producer maintains operations in Kansas City, Missouri and Des Moines, Iowa.

Smithfield Foods president and CEO Kenneth M. Sullivan said: “This latest acquisition will build on the success of our growing packaged meats business and brands. It simultaneously enhances our vertically integrated supply chain, further harmonizing our live production and processing capabilities.

“With this transaction, we will strengthen our focus on branded pre-rigor pork products and leverage Smithfield’s expansive sales and distribution network to bring these premium offerings to more consumers.”

In Kansas City, Kansas City Sausage has a new and modern sausage processing facility which according to Smithfield is designed for optimum efficiency to deliver the highest quality products to retail and foodservice customers.

On the other hand, Kansas City Sausage produces premium raw materials for sausage in Des Moines alongside value-added products like boneless hams.

According to Smithfield Foods packaged meats division president Joseph B. Sebring, the full acquisition of Kansas City Sausage backs the growth of a number of key packaged meats categories of the company further. Some of them included in the list are breakfast and fresh dinner sausage products along with meatballs and other Italian style meal solutions.

Sebring added: “Kansas City Sausage produces some of Smithfield Foods’ fastest growing products including Smithfield Breakfast Sausage, Smithfield Craft Collection Seasonal Brats, and Carando Meatballs. In fact, Carando currently boasts the fastest selling fresh meatball in the U.S.”

Smithfield Foods’ transaction with Kansas City Sausage comes only days after the announcement of a $25m investment in the e-commerce meal marketplace Chef'd.


Image: Smithfield Foods president and CEO Kenneth M. Sullivan. Photo: courtesy of Smithfield Foods, Inc.