Olymel L.P. Aquires Pinnacle Farms Inc.


HUMBOLDT, Sask. — Olymel L.P. — a leading Canadian producer and processor of pork and poultry — recently announced its acquisition of Pinnacle Farms Inc. — a major hog producer located east of Calgary.

Through its purchase of Pinnacle Farms, Olymel becomes the owner of the farm’s inventory and will take over management of the company’s operations. In addition, Olymel has acquired a quarantine barn, sow barns, nursery barns and finishing barns. Pinnacle Farms’ 30 employees will be joining the Olymel staff.

“Olymel is pleased to welcome the employees of Pinnacle Farms into its family,” says Réjean Nadeau, president and CEO, Olymel L.P. “Their experience will be invaluable to Olymel, which receives a boost to its hog-production operations in Western Canada. I would like to thank Ron Arnason, president of Pinnacle Farms and Verus Management, Pinnacle’s partner with whom we have had business relationships for many years and which established the climate of trust that led to this transaction. This addition in our pork sector should support the target Olymel has set for 2020 — to produce more than 1.5 million hogs annually in Western Canada in order to meet the growing demand from its customers.”

Olymel’s acquisition will raise the number of its available sows in the West to 52,000. Furthermore, the transaction will allow the producer to deliver 100,000 additional hogs annually to its processing plant in Red Deer, Alta. In order to turn these additional pigs into market hogs, Olymel will require 30,000 contract-finishing spaces through new or existing capacity in Alberta.

“Pinnacle has been supplying finishing hogs to Olymel for more than four years, so our two companies have had time to get to know one another,” says Ron Arnson, director of Pinnacle Farms Inc. “Verus Management and I are pleased with the conclusion of this relationship and the transaction we are announcing today. We are confident that Pinnacle Farms employees will find a dynamic environment at Olymel where they can maximize their work. This transaction opens the door to the company’s further development and will enable it to serve new markets.”

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