Cal-Maine Foods, Jackson, Miss., announced on Aug. 2, that it intends to purchase substantially all of the assets of Foodonics International, Inc., and its related entities doing business as Dixie Egg Co., Jacksonville, Fla. Financial terms of the transaction were not disclosed. Under the terms of the deal, Cal-Maine would purchase the commercial egg production and processing facilities with capacity for approximately 1.6 million laying hens and related feed production, milling and distribution facilities in Georgia, Alabama and Florida. Dixie Egg also has contract arrangements for an additional 1.5 million laying hens.
Cal-Maine reports that it will also acquire the Egg-Land’s Best, Inc. franchise, with licensing rights for portions of certain markets in Alabama, Florida and Georgia as well as Puerto Rico, Bahamas and Cuba. The company expects to close the transaction in early October.
Cal-Maine is primarily engaged in the production, grading, packing and sale of fresh shell eggs, including conventional, cage-free, organic and nutritionally-enhanced eggs. The company claims it's the largest producer and distributor of fresh shell eggs in the U.S., and sells the majority of its shell eggs in states across the southwestern, southeastern, mid-western and mid-Atlantic regions of the country.