Newberry City Welcomes Major Acquisition in Food Industry

Cal-Maine Foods, Inc. Acquires ISE America, Inc.

Newberry, SC — A significant change is happening in the food industry as Cal-Maine Foods, Inc. has officially purchased the assets of ISE America, Inc. for around $110 million. This move is set to enhance Cal-Maine’s operations significantly in the egg production market, particularly in the Northeast and Mid-Atlantic regions.

The acquisition, announced on July 9, 2024, involves multiple assets from ISE which includes commercial shell egg production and processing facilities. These facilities have a substantial capacity of about 4.7 million laying hens, with notable divisions such as one million cage-free hens and 1.2 million pullets.

Details of the Acquisition

Alongside the hens, Cal-Maine also acquired feed mills, approximately 4,000 acres of land, inventory, and an egg products breaking facility. This extensive acquisition will aid in strengthening Cal-Maine’s customer distribution network, which spans across several states including Maryland, New Jersey, Delaware, and South Carolina.

“We are excited about the opportunity to significantly enhance our market reach in the Northeast and Mid-Atlantic states with the acquisition of these assets from ISE,” noted Sherman Miller, the President and CEO of Cal-Maine Foods. He emphasized that this move will not only allow Cal-Maine to serve new customers but also to improve their capacity in a largely unexplored territory.

Expanding Operations and Opportunities

This acquisition signals the first time Cal-Maine is establishing production assets in Maryland, New Jersey, and Delaware. Miller also highlighted the long-standing history and solid reputation of ISE in the egg production business, promising to uphold this legacy while forging new customer relationships.

“We welcome the dedicated ISE operations team to the Cal-Maine Foods family and look forward to a successful integration,” added Miller. “Working together, we have a unique opportunity to deliver greater value to both our customers and shareholders.”

Looking Forward

The integration process is expected to be smooth due to Cal-Maine’s experience in efficiently managing acquired operations. The company’s proven model should help in maximizing the value derived from the new assets and will likely result in enhanced service and product availability for consumers.

The acquisition could transform the landscape of egg production and distribution in the United States, especially in areas where Cal-Maine is expanding its influence. This development will be watched closely by industry experts, agricultural stakeholders, and consumers alike as the food market continues to evolve.

Residents of Newberry and surrounding areas may soon see changes in local availability and possibly new health and quality options in egg products as the integration of ISE’s operations into Cal-Maine’s larger framework takes place.

Conclusion

As Cal-Maine Foods embarks on this new journey, it stands to strengthen its market position while introducing more diversity in egg production practices across its newly acquired regions. The future looks promising for both the company and the broader food industry as they strive for innovation and expansion.