Seneca Foods Corp., a $1.3 billion canner of Libby's, Blue Boy, Stokely's and other vegetables and fruits, signed an agreement to be the "stalking horse" bidder for most of the operating assets of Allens Inc., which has been under Chapter 11 bankruptcy protection since October.
Seneca's offer of $148 million will set the floor for a court-ordered auction of Allens' canning assets. Allens, a family owned company headquartered in Siloam Springs, Ark., sells canned vegetables under the Allens, Princella, Freshlike and Royal Prince brands. There was no word on when the auction might occur.
Allens is also actively pursuing a sale of its frozen vegetables business in Montezuma, Ga., which specializes in frozen breaded vegetable products and Southern-style frozen vegetables. The company expects to sell those assets through separate application to the court.