June 16 Hillshire Brands Co said it will
withdraw its recommendation to its shareholders to vote for its
acquisition of Pinnacle Foods Inc, following Tyson Foods
Inc's to buy Hillshire.
Tyson, the largest U.S. meat processor, last week said it
would buy Hillshire for $63 per share, valuing the company at
Hillshire said it does not have the right to terminate the
merger agreement with Pinnacle Foods on the basis of the Tyson
Hillshire expects to hold its stockholder meeting as early
as August. The company will have the right to end the Pinnacle
merger on Dec. 12 regardless of whether a shareholder vote takes
If Pinnacle Foods terminates the deal before Hillshire
stockholders vote, Pinnacle may be entitled to a termination fee
of $163 million.
(Reporting by Sruthi Ramakrishnan in Bangalore; Editing by