Sara Lee, Brazil's JBS in Takeover Discsussions, at Odds Over Price
Food and beverage maker Sara Lee (NYSE:SLE) has reportedly been in talks to sell itself to Brazilian meat producer JBS (NASDAQ:JBSAY), according to a source familiar with the matter, however the two have been unable to agree over a price.
According to a report by Reuters, the talks have been on-and-off for a few months, but the two have yet to reach an agreement.
The Downers Grove, Ill-based producer of packaged meat, bakery and certain drinks, including Jimmy Dean, Hillshire Farm and Senseo coffee, has a similar market capitalization to JBS at $11 billion and $10.5 billion, respectively.
The move would follow Sara Lee’s $925 million sale of its bakery business in November.
Sara Lee is also apparently considering other options, including the separation of its meats and drinks businesses.
Sara lee declined to comment to Reuters on Sunday, and JBS was not immediately available.
JBS, which is the majority owner US chicken producer Pilgrim’s Pride, had been looking earlier this year for acquisitions to trump a spree of takeovers by rival Marfrig, according to media reports.