Cargill signs agreement to acquire Five Star Custom Foods

Cargill has signed an agreement to purchase Texas-based Five Star Custom Foods, a firm that specialises in cooked protein products and custom prepared soups and sauces for the foodservice and food processing sectors.

The deal includes the facilities of Five Star Custom Foods in Fort Worth, Texas and Nashville, Tennessee.

The acquisition of Five Star Custom Foods will boost Cargill’s existing cooked protein capabilities, optimise supply chain efficiencies and provide innovation opportunities. Terms of the agreement have not been divulged.

Cargill’s protein business is based in Wichita, Kansas.

Cargill protein business corporate vice-president Brian Sikes said: "Adding Five Star Custom Foods to Cargill’s protein business will provide us with new capabilities we currently do not have, while allowing us to be more nimble in our ability to meet the ever-changing needs of our customers and consumers in today’s fast-paced marketplace.

"We will also learn from the proven success of the Five Star Custom Foods team, which will allow us to enhance our own portfolio as we continue to grow our protein business."

Five Star Custom Foods president and founding partner Jeff Bledsoe said: "Cargill is a company with a rich history and reputation for producing exceptional products.

"Together, we share a commitment for taking care of employees and nurturing customer relationships. As we look toward the future, we are excited by Cargill’s commitment to excellence and long-term profitable growth. We truly believe this to be a ‘winning’ scenario for everyone involved."

The deal is subject to customary regulatory review, and is expected to close this year.

Set up in 1999, Five Star Custom Foods employs 385 people. In 2012, Cargill purchased a beef grind facility in Fort Worth.

Cargill’s protein portfolio includes beef, value-added protein, turkey, cooked meats and food distribution businesses.