Midera Food Processing Buys Poultry Equipment Maker Phoenix

Midera Food Processing, a Nasdaq-listed maker of food processing automation based in Rosemont, Illinois, has acquired Phoenix Innovations Inc., the company said on October 23. Phoenix designs and builds poultry processing equipment and operates from Russellville, Arkansas. It is currently running at an annual revenue rate of about $25 million.

The purchase is Midera's first acquisition as an independent public company.

A bigger role in poultry

Midera says the deal strengthens its ability to sell complete processing lines to poultry customers and advances what it calls its total line solutions strategy. The company describes poultry as one of its fastest-growing categories, pointing to steady, value-driven customer demand and a consumer shift toward higher-protein diets.

"This acquisition aligns with our vision to continue to lead the future of food production automation around the globe," said Mark Salman, Midera's chief executive.

He said the Phoenix leadership team has earned trusted relationships across the poultry industry by solving complex processing challenges, and that its product capabilities make it a compelling addition to Midera's platform. Salman added that Midera sees a clear path to accelerate value creation by applying its total line approach across its 30-plus brands and its global service network.

Acquisition record

Midera says Phoenix fits the acquisition framework it has used since 2005, a process built on more than 30 earlier deals. The company reports a deep pipeline of aligned targets and a strong standalone balance sheet, and says it expects to be an active buyer in the highly fragmented food processing equipment market.

It names three priorities the transaction advances: expanding total line solutions in a high-growth segment, strengthening its market penetration in poultry, and deepening aftermarket service for a growing customer base.

Source: Midera Food Processing