Tyson To Sell Chicken Operations In Mexico, Brazil To JBS SA For $575 Million
Tyson traded recently at $41.31, up 4.4 percent.
Tyson expects the deal to close by the end of 2014, subject to regulatory approval.
Proceeds will pay down debt from Tyson's $7.7 billion acquisition of Hillshire Brands, agreed to earlier this month.
The Mexican business will be acquired through Pilgrim's Pride, whose majority owner is JBS, and which earlier this month lost a bidding war with Tyson to acquire Hillshire Brands.
The Brazilian business is to be acquired through JBS Foods, also a unit of JBS SA.
Tyson, which earlier Monday posted earnings of $0.78 per share, a nickel below forecasts, said the operations to be sold aren't large enough to gain a leading market share in their markets.
Tyson plans to expand its poultry operations in Asia, which include three plants in China and majority ownership of two poultry plants in India.
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