Hicks, Muse, Tate & Furst has agreed to buy the 45 percent stake in Swift Foods held by parent ConAgra Foods for $194 million (€156 million), giving the Dallas-based buyout house full control of the company.
Hicks Muse bought approximately 55 percent of the Greeley, Colorado-based beef and pork product provider from ConAgra two years ago. The original purchase, which totaled $800 million including the assumption of debt, included $150 million in stock and $150 million in bonds.
Reportedly, ConAgra would not record gain or lose on the deal, and expected to recover $300 million in financing it provided to Swift Foods’ cattle-feeding operations. ConAgra, based in Omaha, Nebraska, controls brands such as Armour, Butterball and Marie Callender. Swift Foods was created when the company sold a majority of the unit to Hicks Muse.
Earlier this month, Hicks Muse signed an agreement to acquire Centennial Puerto Rico Cable TV Corp. (CCTV) from Centennial Communications in a deal valuing the company at approximately $155 million (€125 million). With this deal, Hicks Muse has now acquired 11 cable operators in countries including Argentina, Poland, Venezuela, Brazil and Mexico.
Hicks Muse will be investing from its 2001 $1.5 billion Hicks Muse Tate & First Equity Fund V.