Dive Brief:
- Tyson Foods and Hillshire Brands have reached a settlement with antitrust regulators from the Department of Justice, clearing the way for the two brands to merge.
- Under the terms of the settlement, Tyson must sell its Heinold Hog Markets division, which buys sows from breeders and resells them to meat packers. No other divestitures will be required.
- Regulators said that without a sale of Heinold Hog Markets, a combined Tyson-Hillshire would control more than a third of sow purchases in the United States.
Dive Insight:
Forcing a sale of Heinold Hog Markets, which is a tiny sliver of the two companies, isn't likely to upset anyone at Tyson and Hillshire. And it will be welcome news to U.S. hog breeders, who are in the midst of a crisis involving the porcine epidemic diarrhea virus.