US food giant Tyson Foods has acquired local firm Original Philly Holdings, a producer of raw and cooked ‘Philly-style’ sandwich steak and cheesesteak appetiser products.
The financial details of the transaction have not been disclosed.
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Original Philly’s products will feed into Tyson’s foodservice business.
Sally Grimes, president of Tyson’s prepared foods division, said: “Original Philly Holdings is a natural, strategic fit with our prepared foods business. The Original Philly brand and portfolio of products are highly regarded in the foodservice industry and have a growing list of customer relationships with chain and convenience store operators.”
Philadelphia-based Original Philly Holdings consists of two business units: Original Philly Cheesesteak Company, which manufactures raw Philly-style sandwich steak products; and Philadelphia Pre-Cooked Steak Company, which manufactures fully-cooked Philly-style sandwich steak products.
Original Philly Cheesesteak Co., originally known as Roxborough Meat Co., was founded in 1981 in a converted garage in Philadelphia’s Roxborough section.
The group’s customers include foodservice, retail and convenience store providers. The company, which employs approximately 250 people, operates two plants in Philadelphia.
John Karamatsoukas, president and CEO of Original Philly Holdings, said: “Tyson Foods is a leader in the food industry and has a strong reputation for successfully acquiring and growing family-owned businesses like ours.”
Integration teams from Arkansas-based Tyson Foods and Original Philly have been formed.
The deal is the first Tyson has struck since it announced in April a deal to buy US convenience food group AdvancePierre Foods Holdings in a transaction worth US$4.2bn.
Last October, AdvancePierre acquired Allied Specialty Foods, a manufacturer of cooked and raw beef and chicken Philly steak products, for US$60m.
Earlier today (13 November), Tyson said a strong finish to its fiscal year had helped it to reach a record level of annual operating income.
