Tyson acquires McDonald’s fish processor
U.S. poultry processor Tyson Foods is acquiring Keystone Foods, the maker of McDonald’s Filet-O-Fish, despite monopoly concerns from analysts.
Tyson Foods is acquiring the Keystone Foods business from Marfrig Global Foods for USD 2.16 billion (EUR 1.9 billion) in cash. Keystone supplies fish, beef, chicken, and pork products to both retailers and foodservice chains.
With the purchase, Tyson will now have an additional six processing plants and an innovation center in the United States.
"Keystone provides a significant foundation for international growth with its in-country operations, sales and distribution network in high growth markets in the Asia-Pacific region as well as exports to key markets in Europe, the Middle East, and Africa,” Tyson President and CEO Tom Hayes said in a press release.
However, Mizuho Securities USA analyst Jeremy Scott said earlier this month that the acquisition will likely face scrutiny by the U.S. government.
The acquisition could cause “significant competitive concerns” about consolidation in the poultry industry, wrote Scott, Bloomberg reported. Already, four companies, including Tyson, control more than half of U.S. chicken processing.