Hormel Foods Buys Ceratti for $104 Million Dollars

According to the Ceratti, both parties held ongoing negotiations for two years, before their representatives could shake hands on the deal. In this period, “there was a good synergy between the values of both companies,” claimed Ceratti in a press release. “Hormel Foods has affirmed it will retain the values of Ceratti, created throughout its 85 years of existence,” the Brazilian company added.

The acquisition marks Hormel’s debut in the Latin American market. Concerning the deal, the American company commented: “This strategic international growth is important for Hormel Foods and Latin America has been grabbing our attention for a few years,” said Jim Snee, CEO.

“Ceratti has shown a solid history of family tradition and an expressive growth of its portfolio with the distribution of products with a high aggregated value. The acquisition is a strategic adjustment for Hormel and will allow our entry in the Brazilian market with a platform to grow in other countries of the continent,” Mr. Snee added.

Mario Ceratti, statuary executive officer of Ceratti, will keep his position to facilitate the transition. The board of directors will also remain the same.

Mauro Preti, CEO of Ceratti offered his take on the deal: “Hormel has a formidable reputation, with values that are alike the ones we built during our 85 years of history. They share a focus on the quality of the product, cutting edge technology and transparency. The acquisition of Ceratti by Hormel Foods offers the resources of a global company and will help in the plans of expansion and growth.”

The law firm TozziniFreire Advogados worked as  counsel to Hormel in Brazil, whereas Faegre Baker Daniels assisted the food company in the United States. Lilla, Huck, Otranto, Camargo e Messina Advogados and Souza, Cescon, Barrieu & Flesch Advogados counseled Ceratti on the deal, which involved the Brazilian and American jurisdictions.

About Hormel Foods:

Established in 1891, the Fortune 500 company, had a revenue of $4.5 billion in the first quarter of 2017, and employs more than 20,000 professionals.

About Ceratti:

The Brazilian company was established in 1932, in the suburbs of Sao Paulo. In 2014, it registered a revenue of R$230 million ($73 million) and has a productivity of 2.3 thousand tons of meat per month.

C.S.