Japanese-based Marubeni acquires US beef packer

According to the Nikkei Asian Review, Japanese trading house Marubeni has added a U.S. beef processor to its portfolio, anticipating greater exports to China after Beijing lifted a long-standing ban on meat from American cattle in June. Creekstone Farms, a distributor of premium beef, has been acquired in a deal worth about $170 million, including liabilities. With the resumption of American beef exports to China, Marubeni expects the country’s appetite for the meat to grow as its middle class expands. Creekstone, which recorded $550 million in sales last year, processes beef for sale to supermarkets and restaurants. It is the 12th biggest U.S. beef producer by volume and among the top processors of premium beef. In 2016, Creekstone processed about 250,000 head of cattle, with about 80 percent of the beef going to U.S. consumers and the rest shipped to Europe, Japan and other countries. Read more…