090124 Tyson Foods Acquires Rendering PlantJanuary 25, 2009
Springdale, AR -- Tyson Foods Inc. confirmed it has completed the acquisition of Forest, Miss.-based Central Industries, a rendering company that it has partially owned for several years.
The Springdale meat giant closed the deal Dec. 29, but no financial details have been released. The Tyson name will be phased in during the next few months, the company said.
Central Industries converts poultry byproducts used to make pet food, other animal feeds and biodiesel.
Prior to the recent purchase, Tyson Foods had a 49-percent stake in Central Industries.
"We believe 100 percent ownership will enhance the efficiency of the business and generate a greater financial return," said Jeff Webster, group vice president of Tyson's Renewable Products Division.
Tyson Foods said the company plans to make very few changes in total employment -- about 180 people.
Taking full ownership of Central will give Tyson Foods nine rendering facilities, but the Forest facility is attractive because it has a rail spur on site, making transportation more accessible.
Webster said owning the plant would provide for better logistics and greater access for rendered products to the southeastern United States.