M&As this week: Tyson Foods, Smart Organic

Through its wholly owned subsidiary DVB Merger Sub, Tyson Foods has announced plans to acquire all the outstanding common shares of AdvancePierre Foods Holdings for a cash consideration of $40.25 a share.

As part of the $4.2bn acquisition, DVB Merger will affiliate with AdvancePierre, which will also become a wholly owned subsidiary of Tyson.

Following the merger, OCM Principal Opportunities Fund IV Delaware and OCM APFH Holdings will hold approximately 42% of the outstanding shares of AdvancePierre.

Bridge financing for the transaction is provided by Morgan Stanley Senior Funding.

Tyson Foods is involved in chicken, beef, pork, prepared foods and related allied products processing and marketing, while AdvancePierre Foods Holdings is engaged in ready-to-eat sandwiches, sandwich components, and other entrees and snacks production and distribution.

Organic products distributor Smart Organic has announced the acquisition of a 25% stake in sauce and chili pepper manufacturer Chilli Hills Foods.

Both the companies involved in the transaction are based in Bulgaria.