Canadian pork business acquired by co-operative
This transaction, conducted via its Olymel and Sollio Agriculture divisions, includes the pork farms owned by F. Ménard, a slaughterhouse, cutting and boning plant located at L'Ange-Gardien, an establishment in St-Jean-sur-Mer. Richelieu, a further processing plant specializing in bacon production located in Henryville, as well as a large transport fleet and finally two specialized businesses in the butchery sector.
The Ange-Gardien slaughterhouse and cutting plant has a weekly slaughter capacity of 25,000 pigs on a shift. The Henryville Overtransformation Plant has been in operation since 2011 and has an area of 70,000 sq2. All of these assets will be placed under the management of Olymel.
F. Ménard is also involved in the poultry production sector however these activities are not part of the transaction. This transaction, for an undisclosed amount, is subject to the approval of the Competition Bureau.
Milling trade
The transaction also includes milling activities whose annual production exceeds 500,000 metric tons. These assets include two mills located respectively in St-Pie-de-Bagot and Ange-Gardien, as well as grain storage and drying facilities in Ste-Brigide-d'Iberville.
Founded almost 60 years ago by Fulgence Ménard, F. Ménard is a leader in the pork industry in Quebec. The company employs more than 1,200 people and is fully integrated with activities ranging from genetics to marketing, food, livestock, slaughter, processing and over-processing. The company has an annual production of more than 1.1 million hogs in more than 300 farms, which represents more than 15% of all Quebec production.
La Coop fédérée president Ghislain Gervais said: “Olymel has all the assets and the expertise to not only grow F. Ménard and push its know-how even further, but also to benefit from the growth induced by this transaction to better compete with world-class companies on the market.”
Luc Ménard, general director of F. Ménard, added: "After a long strategic reflection, the decision to sell the company proved to be the optimal solution to ensure a promising future for F. Ménard. It is with the preservation and development of what we have built for almost six decades and the interest and future of our employees that we have come to the decision.
“The choice of a Canadian buyer such as La Coop fédérée and the Olymel and Sollio Agriculture Divisions has become a choice for the future. This is indeed a buyer with deep roots in Quebec with a growing presence in Canada and a unique experience in the agri-food processing industry and its markets, here and around the world.
“Our suppliers and our customers will benefit from the new dynamic created by this transaction. It is my intention to continue the work done at F. Ménard in our new company to ensure a smooth transition and the success of this new chapter in our history.”
Chief executive officer of Olymel LP Réjean Nadeau said: “I see this transaction as the union of two passionate companies, joining forces to better face an increasingly fierce competition, especially in international markets. Together, we will take advantage of new synergies and increased capabilities to provide our customers and consumers with quality in what we produce and excellence in how we serve them.”
