Tyson Foods Inc has offered to purchase Hillshire Brands Co for $6.8 billion, upstaging Pilgrim's Pride Corp's $6.4-billion bid and signaling a high-stakes food fight for the seller of Hillshire sausages and Jimmy Dean sausages.The $50-per-share offer Thursday by Tyson, the biggest U.S. meat processor, outshone Pilgrim's $45 a share all-cash bid earlier this week. Both include the assumption of Hillshire's debt.Investors lauded the news, sending Hillshire's shares up more than 16 percent to $52.12 in midday trading, above Tyson's offer price, suggesting that some investors expect the latest overture to spark a bidding war.Earlier in May, Hillshire said it planned to buy Pinnacle Foods Inc, known for its Birds Eye frozen vegetables, in a deal valued at $4.3 billion. That pact, considered less appealing by some investors and analysts, could be in peril as the offers from Tyson and Pilgrim's require Hillshire to terminate the Pinnacle bid.
Shares of PF traded higher by 1.45% or $0.456/share to $31.83. In the past year, the shares have traded as low as $23.37 and as high as $35.67. On average, 1541380 shares of PF exchange hands on a given day and today's volume is recorded at 2340243.
Tyson Foods, Inc. is a food production company. The Company produces, distributes and markets chicken, beef, pork, prepared foods and related allied products. Shares of TSN traded higher by 7.41% or $3.02/share to $43.77. In the past year, the shares have traded as low as $24.48 and as high as $44.24. On average, 3482150 shares of TSN exchange hands on a given day and today's volume is recorded at 5687083.
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