LeaderShift Blog, Hunt Executive Search

Pfizer to Buy King Pharmaceuticals for $3.6B
10/12/2010

Pfizer to Buy King Pharmaceuticals for $3.6B

Pfizer to Buy King Pharmaceuticals for $3.6B

Pfizer Inc., the world's largest pharmaceutical company by revenue, agreed to buy King Pharmaceuticals Inc. for $3.6 billion, the latest acquisition in an industry facing patent-expiration woes.

The deal comes a year after Pfizer bought Wyeth for $68 billion, a deal which unleashed a run of merger activity in the pharmaceutical industry. Big drug makers face the expiration of patents on many flagship drugs, which opens the doors for much cheaper generic versions of those drugs to enter the market.

Under the agreement, Pfizer will pay $14.25 per share for King, a 40% premium to Monday's closing price. King's stock through Monday was down 17% this year as the Bristol, Tenn., company has been struggling to find a replacement for its once-best-selling Altace blood-pressure treatment, whose sales plunged due to generic competition. More recently, the Skelaxin pain killer also became subject to generic competition.

But King's portfolio will add to Pfizer a prescription pharmaceutical business focused on delivering new formulations of pain treatments, an emergency drug delivery business that developed the EpiPen and an animal health business.

The companies expect to close the deal around year's end. Pfizer anticipates the acquisition boosting annual per-share profit slightly starting next year while yielding cost savings of at least $200 million that are expected to be realized by the end of 2013.

Fitch Ratings cut its outlook on Pfizer to negative earlier this month, saying the effects of its coming patent expirations on revenue and margins are likely to be worse than expected. Pfizer has seen strength lately, with revenue boosted by the Wyeth acquisition.
Jan Bennink appointed to Coca-Cola Enterprises board
10/11/2010

Jan Bennink appointed to Coca-Cola Enterprises board

Jan Bennink appointed to Coca-Cola Enterprises board

Coca-Cola Enterprises Inc.elected food and beverage industry veteran Jan Bennink to its board of directors.

Bennink recently was CEO of Royal Numico, which is now a baby food and clinical nutrition unit of Danone Group. From 1997 to 2002, he was president of the Dairy Division for Danone Group, a global producer of cultured dairy products and bottled water brands such as Evian, Volvic and Aqua.

“His experience in the consumer packaged goods industry, along with his expertise in consumer marketing, will be invaluable to our board of directors and our company,” said John F. Brock, chairman and CEO Coca-Cola Enterprises, in a statement. “We look forward to benefiting from Jan’s international business perspective and his knowledge of the key European markets in which we operate.”

The Atlanta-based Coke products marketer and distributor also said Fernando Aguirre will leave its board of directors Nov. 30. Aguirre, chairman and CEO of Chiquita Brands International Inc.,joined Coca-Cola Enterprises’ (NYSE: CCE) board of directors in 2005.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com
Dean Foods Names Chris Sliva Chief Commercial Officer
10/8/2010

Dean Foods Names Chris Sliva Chief Commercial Officer

Dean Foods Names Chris Sliva Chief Commercial Officer

Dean Foods Co. (DF) selected the president of its Morningstar division, Chris Sliva, for the newly created role of chief commercial officer.

In his new position, Sliva will direct strategy for Morningstar as well as the fresh dairy business, where the current president is leaving to pursue other opportunities.

The company declined to comment beyond the press release.

Harrald Kroeker, president of the fresh dairy segment for the past four years, will step down from that post immediately, though the 50-year-old will remain with the company through next month. Dean Foods' President and Chief Operating Officer Joe Scalzo said Kroeker is credited with improving the efficiency and effectiveness of the fresh dairy operations.

Sliva, 47, in his new role will report to Scalzo, the former president and chief executive of WhiteWave-Morningstar who was elevated to his current position in August. Sliva will be responsible for more closely aligning the company's sales organizations, commercial lines and customer relationships.

Sliva has been president of the Morningstar business since January. He joined Dean Foods' WhiteWave division in 2006 and was promoted to chief operating officer of Morningstar in 2008.

Dean Foods--which makes Horizon Organic dairy products, Silk soy milk and International Delight coffee creamers--in August said its second-quarter earnings fell 30% as it continued to be hurt by consumers' shift to private-label milk offerings. The company also projected third-quarter earnings below analysts' estimate.'

The dairy segment, Dean Food's largest business, has seen earnings decline in recent quarters amid lower whole milk prices. The WhiteWave-Morningstar division, which includes ice cream and yogurt as well as organic products has seen profits improve lately.

Shares were down 4 cents at $10.58 in recent trading. The stock is down 41% this year.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com
Cosmetic Essence adds PE firm Littlejohn & Co. to majority owner.
10/4/2010

Cosmetic Essence adds PE firm Littlejohn & Co. to majority owner.

Cosmetic Essence adds PE firm Littlejohn & Co. to majority owner.

Greenwich, Conn. private equity firm Littlejohn & Co. led the restructuring of Cosmetic Essence, Inc., a contract manufacturer for the cosmetics, fragrance, and skin care industries. New York-based investment management firm Garrison Investment Group with an investment, making the two majority owners.

Deal terms were not disclosed but the press release stated that the company is generating approximately $300 million in revenues.

Cosmetic Essence once sat in the portfolio of Toronto-based private equity firm Onex Partners. The firm, through multiple vehicles, invested a total of $138 million in Cosmetic Essence in December 2004. By the end of 2008, the company missed its debt covenants and was unsuccessful in reaching an agreement with its lenders. The following year Onex sold its shares in the company to Cosmetic Essence’s lenders.

The company's interim CEO, Vincent Langone, managed the company’s recent turnaround. With funding from the new investors, Langone cited in the press release that the platform is in position to seek out opportunistic add-on acquisitions as part of its growth plan.

Littlejohn’s managing directors Edmund Feeley and David Simon will join the board of directors of Cosmetic Essence.

Littlejohn invested in the personal care company using capital from its fourth fund which has $1.3 billion. The firm is known to invest in middle-market companies that are enduring fundamental change in capital structure, strategy or operations.

Garrison, meanwhile, focuses on middle-market credit, distressed and asset-backed investments. The firm has approximately $1.6 billion in assets under management and invests in corporate finance, financial assets and commercial real estate assets.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com
Sanofi makes a hostile bid worth $18.5 billion for Genzyme
10/4/2010

Sanofi makes a hostile bid worth $18.5 billion for Genzyme

Sanofi makes a hostile bid worth $18.5 billion for Genzyme

French pharmaceutical giant Sanofi-Aventis on Monday said it had launched a 18.5-billion-dollar hostile bid for US biotechnology group and rare disease specialist Genzyme, which urged shareholders to refrain from action.

"Genzyme's refusal to take part in constructive discussions has led Sanofi-Aventis to put forward its offer directly to shareholders," Sanofi said in a statement.

The company said its bid, at 69 dollars per share, would remain open until December 10.

"It's a substantial price that well reflects the value of the company," Sanofi chief executive Christopher Viehbacher said during a telephone press briefing.

He said Genzyme shareholders representing 50 percent of the capital wanted to sell their shares.

"They want to sell and do not understand the attitude of management and the board of directors who do not want to sit at the table and negotiate with us."

Genzyme's management, which had spurned the bid in late August, called on its shareholders to take no action on the unsolicited offer before its board reviews the offer and hands "its formal position within ten business days."

Industry analysts said that acquiring Genzyme would be a major step for Sanofi in a drive by big pharmaceutical groups to become active in biotechnology and treatments for rare diseases.

Such treatments require specific knowledge to develop but can be marketed at high prices and are difficult to copy.

At 69 dollars, the offer amounts to a 38 percent premium on Genzyme's closing share price, 49.86 dollars, on the New York Stock Exchange on July 1, the date on which reports of Sanofi's intentions first surfaced.

Genzyme shares traded 0.50 percent higher on Wall Street on Monday at 71.24 dollars. Sanofi-Aventis shares Monday fell 1.03 percent in New York.

Genzyme management has until now insisted that Sanofi's proposal greatly undervalues the US group.

Genzyme chief executive Henri Termeer has said an offer pitched at 80 dollars a share would more accurately reflect the value of the company.

A Paris-based analyst, who asked not to be named, said early Monday that "the market had been betting on a negotiated solution between the parties that would have enabled access to (Genzyme's) scientific and accounting data."

He said Sanofi had tried unsuccessfully to secure such access, which could have provided assurances on Genzyme's growth prospects, particularly regarding new products.

He added that the uncertainty surrounding the bid in the absence of the data was weighing on Sanofi's share price.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Website: http://www.huntsearch.com

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.
Unilever to acquire Alberto-Culver
9/27/2010

Unilever to acquire Alberto-Culver

Unilever to acquire Alberto-Culver

Unilever PLC, the Anglo-Dutch consumer-products giant, is closing in on a deal to purchase Alberto Culver Co., maker of Alberto VO5 hair-care products, people familiar with the matter said.

Unilever is expected to pay $37.50 in cash for Alberto Culver, a 19% premium to its Friday closing price of $31.48, a person familiar with the matter said, but added that talks were still ongoing.

The total value of the deal would be $3.7 billion at that per-share price, based on 98.6 million shares outstanding. Barring a last-minute snag, a deal could be announced as early as Monday.

A spokesman for Unilever had no comment while officials of Alberto Culver, based in Melrose Park, Ill., couldn't be reached.

Alberto Culver's portfolio includes a number of well-known hair-care brands, such as TRESemme and Nexxus, in addition to Alberto VO5, and skin-care products such as St. Ives and Noxzema. The company, part owned by the family of founder Leonard Lavin, and which dates its roots back more than 50 years, had sales of $1.4 billion for the fiscal year ended in September 2009.

The deal would come almost exactly a year after Unilever announced its purchase of Sara Lee Corp.'s personal-care business for €1.275 billion ($1.72 billion) in cash. That deal, which hasn't closed yet due to regulatory hurdles in Europe, would round out Unilever's personal-care portfolio by adding the cheaper Radox and Sanex brands to higher-end brands like Dove and Vaseline. Unilever has said it expects the Sara Lee deal to be completed by the fourth quarter of 2010.

Personal care, which includes shampoo and skin products, has been outperforming Unilever's other divisions in recent quarters, thanks in part to the success of Degree deodorant and Suave shampoo in the U.S. The consumer-goods giant also launched a successful range of Dove products for men across the globe earlier this year.

Sales in Unilever's personal-care division were €6.7 billion in the first half of 2010, up 7.9% when stripping out the effects of currency fluctuations, disposals and acquisitions. Total sales, when including all divisions, were €21.895 billion for the first half, up 3.8% from a year earlier.

When Unilever agreed to buy the Sara Lee brands last year, Chief Executive Paul Polman called personal care a "strategic category" and a "key growth driver" for the company. The business is also where much of Mr. Polman's experience lies, with him having spent years in the home and personal-care business of Procter & Gamble Co.

In an interview on Bloomberg television earlier this year, Mr. Polman said Unilever was looking to spend €1 billion to €2 billion a year in acquisitions, and that his acquisition strategy was to "fill in white spaces" in Unilever's core categories, while focusing in particular on countries with growing populations of more than 100 million. Following on the Sara Lee purchase last year, Alberto Culver fits the bill.

The remaining bulk of Unilever's business is in food, and it includes products such as Ben & Jerry's ice cream, Hellmann's mayonnaise and Lipton tea.

By bringing Nexxus, VO5 and TRESemme shampoos into its stable of hair-care brands, the acquisition of Alberto Culver would put the Anglo-Dutch Unilever in more direct competition with its American archrival Procter & Gamble. Cincinnati, Ohio-based P&G—Mr. Polman's longtime employer—makes Pantene, Herbal Essences, Head & Shoulders and Clairol hair products.

It would also raise Unilever's presence in North America, where the company abandoned its laundry business in 2008, selling it for $1.45 billion in cash and shares to private-equity firm Vestar Capital Partners.

Mr. Lavin, a horse-racing enthusiast who turns 91 next month, founded the company in 1955 and took it public six years later. Today he sits on the board after relinquishing management of the company in 1994. Alberto Culver's executive chairman now is Carol Lavin Bernick, his daughter. Together, they own more than 14% of the company, according to the most recent proxy filing late last year.

In 4 p.m. composite trading Friday on the New York Stock Exchange, Alberto Culver shares were up 18 cents at $31.48. Unilever's American depositary shares were up 52 cents, or 1.8%, at $29.37.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com

Zep Inc. selects Jeffrey Fleck to Lead Supply Chain

9/21/2010

Zep Inc. selects Jeffrey Fleck to Lead Supply Chain

Zep Inc. selects Jeffrey Fleck to Lead Supply Chain

Zep announced that it has selected Jeffrey L. Fleck as Vice President, Chief Supply Chain Officer. In this capacity, Mr. Fleck will be responsible for all aspects of the Company's global Supply Chain including Strategic Sourcing, Manufacturing and Logistics to ensure our customers always receive high quality products and on-time delivery performance. "An integral part of our continuing transformation strategy is delivering Superior Solutions to our diverse customer base," said John K. Morgan, Chairman, President and Chief Executive Officer. "With his wealth of experience, background and unique skill set, we know Jeff will continue building upon the current supply chain programs while improving this important operational area of our Company."

Mr. Fleck commented on joining Zep Inc. by stating, "I am pleased to have joined Zep's outstanding team and industry leading product portfolio. My overarching goal is to create the right supply chain capabilities to deliver a competitive advantage and greater profitability. I believe our team will accomplish this through a clear focus on customer service, costs, and working capital. I know I can count on our team to continue to build upon the success they have had in driving a culture of continuous improvement."

Mr. Fleck previously held positions of increasing responsibility in supply chain operations and strategy at companies such as Cargill Incorporated, American Home Products' Cyanamid Division, and, most recently, as Senior Director of International Supply Chain at The Clorox Company.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com

Prestige Brands to Acquire Blacksmith Brands
9/20/2010

Prestige Brands to Acquire Blacksmith Brands

Prestige Brands to Acquire Blacksmith Brands

Prestige Brands Holdings, Inc., a leading marketer of branded consumer products, today announced that it has entered into a definitive agreement to acquire 100% of the stock of Blacksmith Brands Holdings, Inc. (“Blacksmith Brands” or “Blacksmith”), for $190 million in cash. Blacksmith, a portfolio company of Charlesbank Capital Partners, owns five leading consumer over-the-counter ("OTC") brands. The transaction is subject to customary closing conditions, including clearance under the Hart-Scott Rodino Antitrust Improvements Act of 1976, and is expected to close during the fourth quarter of calendar year 2010.

“We have a proven track record of successfully integrating brands into the Prestige portfolio. The Blacksmith operating model mirrors the Prestige model, and like Prestige, has strong free cash flow. The acquisition of Blacksmith Brands represents a transformative and exciting opportunity for us”

The brands being acquired are:

- Efferdent®, a powerful effervescence that cleans dentures and kills odor-causing bacteria;

- Effergrip®, a zinc-free denture adhesive cream;

- PediaCare®, a well-known OTC cough/cold/allergy/sinus and fever remedy for infants and children;

- Luden’s®, great-tasting throat drops that relieve sore, dry and scratchy throats; and

- NasalCrom®, non-drowsy allergy prevention for allergy sufferers.

The addition of these well-known brands strengthens Prestige's platform in its core cough/cold and oral care categories, and represents a meaningful step towards the Company’s commitment to increasing its presence in the OTC arena. With the addition of these five brands, OTC products in the Prestige portfolio now account for 75% of revenues and an even greater percentage of brand contribution.

“Strategic acquisitions in the OTC market are core to our shareholder value creation strategy. We are strengthening Prestige’s position in key categories with the additions of Efferdent®, PediaCare® and Luden’s®. These three scale brands compete in attractive categories we know well, and they provide a clear path for shareholder value creation through increased brand support and line extensions,” said Matthew Mannelly, Prestige Brands Chief Executive Officer. “This transaction is consistent with our strategy of acquiring businesses that have strong consumer franchises and are important to retailers,” he said.

“We have a proven track record of successfully integrating brands into the Prestige portfolio. The Blacksmith operating model mirrors the Prestige model, and like Prestige, has strong free cash flow. The acquisition of Blacksmith Brands represents a transformative and exciting opportunity for us,” continued Mannelly.

The acquisition is expected to be accretive to Prestige's earnings per share in fiscal 2012 and provides excellent long-term growth opportunities for both sales and earnings.

As part of the transaction, Prestige will acquire tax attributes with a present value of approximately $16 million, which would imply an effective purchase price of $174 million. To fund the transaction, Prestige will use a combination of cash on the balance sheet and additional bank and/or bond financing.

Sawaya Segalas & Co., LLC, a leading consumer investment banking firm, is acting as a financial advisor to Prestige with respect to the transaction.

Divestiture of Cutex®

Simultaneously with the announcement of the Blacksmith transaction, Prestige also announced the divestiture of its Cutex® line of nail polish removers, the largest remaining product in its personal care segment. The sale to Arch Equity Partners of St. Louis was effective on September 1, 2010.

About Prestige Brands

Prestige Brands markets and distributes brand name over-the-counter healthcare, personal care and household products throughout the United States, Canada and certain international markets. Key brands include Compound W® wart treatments, Chloraseptic® sore throat relief and allergy treatment products, New-Skin® liquid bandage, Clear Eyes® and Murine® eye care products, Little Remedies® pediatric over-the-counter healthcare products, The Doctor's® NightGuard® dental protector, Comet® and Spic and Span® household cleaners, and other well-known brands.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com
MillerCoors appoints Tom Long to CEO duties
9/13/2010

MillerCoors appoints Tom Long to CEO duties

MillerCoors appoints Tom Long to CEO duties

MillerCoors LLC's No. 2 executive, Tom Long, will be sharing some of the duties of Chief Executive Leo Kiely, in the latest sign that the company is grooming Mr. Long to lead the second-largest U.S. beer maker by sales.

Mr. Kiely told staff in a memorandum Thursday evening that he will combine offices with Mr. Long, who is president and chief commercial officer, and "will be sharing more day-to-day responsibility with Tom." Mr. Kiely said Mr. Long, 51 years old, will continue to oversee commercial operations, but "will be further charged with driving our growth strategy."

MillerCoors, which brews Coors Light and Blue Moon, is a joint U.S. venture of London's SABMiller PLC and Molson Coors Brewing Co. of Denver and Montreal. The company, formed in 2008, has said that Mr. Kiely, 63 years old, may retire in 2011 under the terms of his employment agreement.

Mr. Long, who has been in the beer industry for about five years after working for Coca-Cola Co., has helped MillerCoors boost revenue and profit despite lackluster sales volumes for brands such as Miller Lite. The company controls about 30% of U.S. beer sales, ranking behind Anheuser-Busch InBev NV, which has a roughly 49% market share.

MillerCoors also expanded duties for several other executives, including Chief Marketing Officer Andy England. He gained the additional title of executive vice president, adding communications, government affairs and business strategy to his responsibilities.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com
Smithfield Sells Butterball Stake
9/10/2010

Smithfield Sells Butterball Stake

Smithfield Sells Butterball Stake

Smithfield Foods Inc. will sell its 49% stake in the Butterball turkey business to joint-venture partner Maxwell Farms, as widely expected, with the offer seen generating proceeds of about $175 million.

Smithfield Chief Executive Larry Pope reiterated that the company's minority ownership position in Butterball prevented it from doing what it thought necessary "to fully develop the company to its potential."

Smithfield has said Butterball suffered from a lack of investment since ConAgra Foods Inc. sold it in 2006.

Smithfield in June said it had made an offer to purchase Maxwell Farms' 51% stake in Butterball and related turkey production assets for about $200 million. Under the partners' agreement, Maxwell Farms could either choose to sell or be required to purchase Smithfield's 49% interest.

Smithfield, which is the world's largest pork processor and hog producer, plans to pay off debt with the sale's proceeds.

Maxwell Farms, a subsidiary of North Carolina-based Goldsboro Milling Co., is entering a partnership with Seaboard Corp. to purchase the minority share.

Seaboard, which is based in Kansas, is focused mainly on agricultural products, including pork production and grain trading, along with ocean shipping.

"Seaboard is a strong, diversified company with a great reputation in the agriculture and food industries, and we are confident the partnership will be mutually beneficial for both companies," Maxwell Farms President Walter Pelletier said in a prepared statement.

Virginia-based Smithfield on Wednesday reported it rebounded from a prior-year loss in its fiscal first quarter with a boost from higher prices. Looking ahead, Smithfield is poised to benefit from reduced total meat output, significantly smaller frozen stocks of animal proteins held in the nation's warehouses and continued strong exports.

About Hunt Executive Search, Inc.

Hunt Executive Search, Inc. is the preeminent supplier of "A" Player human capital to the Consumer Products, Specialty Chemicals and Life Sciences industries.

Our clients include large publicly traded multi-nationals, mid-cap, family, and/or private equity-owned companies, wholesalers, and retailers. Our individual industry based practices include consumer goods companies in food and beverage, personal care, household products, over-the-counter pharmaceutical, consumer durables, and packaging services. Our specialty chemicals practice includes companies in coatings, plastics, industrials and adhesives. Our life sciences practice serves companies in bio-technology, medical device, generic, and brand name pharmaceuticals. Through retained executive search services for these clients we have placed executives in top-level positions at C- Suite General Management, Sales, Marketing, Product Supply, Manufacturing, R&D, Finance and Human Resources.

Website: http://www.huntsearch.com

LeaderShift Blog

LeaderShift Blog

Unilever to acquire Alberto-Culver

MillerCoors appoints Tom Long to CEO duties

Human Capitalist

Leadershift Insights

Video Library

Leadershift Blog