US meat processing giant Smithfield, with $10bn in annual sales, has recently announced it paid 83 million dollars for two production facilities in Romania and Poland.
The Americans bought a 22% stake in meat processing company Morliny from Campofrio Alimentacion of Spain for 50 million dollars, with the rest being paid for the former pig breeding complex ComTim Timisoara.
Smithfield acquired ComTim in two stages: about 70% of its assets from a group of Italian investors forming Agrotorvis SRL, and the rest from Com-Tim Group SRL, owned by businessman Nick Cojocaru and a group of Australian investors.
"These two acquisitions will consolidate our presence so as to be able to benefit from market opportunities and develop the protein market in Eastern Europe. At the same time, by coordinating production and marketing advantages, we will be very well positioned as Europe continues to progress toward a single market," said Robert A. Sharpe II, Smithfield's president for international operations.
During their recent visit to Romania, Smithfield representatives announced an ambitious investment programme worth 350 million dollars aimed at ComTim.
"Smithfiled is a champion of environment protection norms and ecological durability, and its practices in Romania will be in line with current or future environment conditions imposed by the European Union," said Richard Poulson, executive vice-president and main adviser to the Smithfield president.
Smithfield will work with local farmers who will supply the animals after the processing plant is rehabilitated and becomes operational.
stelian.negrea@zf.ro
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