Hormel‑Brakebush acquisition – approval and closing

Hormel Foods Corporation is expanding its protein portfolio through a $1.055 billion cash acquisition of Brakebush Brothers, LLC [1][3]. The deal, announced September 29, 2026, targets the value-added chicken market where Brakebush generated approximately $1.2 billion in net sales over the last year [2][9]. Hormel expects the transaction to increase its net debt to adjusted EBITDA ratio to the "Low-2x" range, which is above its standard target of 1.5x to 2.0x [1].

The acquisition is scheduled to close in the first quarter of Hormel’s fiscal 2027 [2][6]. Hormel intends to fund the purchase using a combination of cash on hand and long-term debt [1]. The company anticipates the integration will contribute to adjusted earnings per share beginning in fiscal 2028 [4][6].

A final decision from the Federal Trade Commission would resolve the required waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act [3]. The acquisition also awaits the satisfaction of other customary regulatory approvals [3][9].

Approval by Hormel shareholders at a scheduled meeting would satisfy corporate governance requirements for the transaction. The official closing and announcement by Hormel would complete the transfer of Brakebush’s operations. The agreement permits either company to terminate the deal if it is not finalized by March 29, 2027, though a three-month extension is available to address outstanding regulatory matters [3].