Exhibit 99.1
-MORE-
Contacts:
Sherman Miller, President and CEO
Max P. Bowman, Vice President and CFO
(601) 948-6813
CAL-MAINE FOODS, INC. ANNOUNCES ACQUISITION OF
EGG PRODUCTION ASSETS OF ISE AMERICA, INC.
RIDGELAND, Miss. (June
28, 2024) -
Cal-Maine Foods, Inc.
(NASDAQ: CALM) (“Cal-Maine
Foods” or the
“Company”) today announced the Company has completed the acquisition of substantially all the assets of
ISE America, Inc. and
certain affiliates (“ISE”) for approximately
$110 million. Cal-Maine Foods is
funding
the
acquisition
with
available
cash
on
hand.
The
acquired
ISE
assets
include
commercial
shell
egg
production
and
processing
facilities
with
current
capacity
of
approximately
4.7
million
laying
hens,
including
1.0
million
cage-free,
and
1.2
million
pullets,
feed
mills,
approximately
4,000
acres
of
land,
inventories and an egg products
breaking facility.
The acquired assets also include
an extensive customer
distribution network across
the Northeast and
Mid-Atlantic states, and
production operations in
Maryland,
New Jersey, Delaware and South Carolina.
Commenting on
the announcement,
Sherman Miller,
president and
chief executive
officer of
Cal-
Maine Foods, Inc., stated, “We
are excited about the opportunity
to significantly enhance our market
reach
in
the
Northeast
and
Mid-Atlantic
states
with
the
acquisition
of
these
assets
from
ISE.
The
added
production
and
distribution
capabilities
will
allow
us
to
serve
new
customers
and
expand
capacity,
particularly in the
Northeast, which
is largely
a new territory
for Cal-Maine Foods.
We are also
acquiring
production assets
for the
first time
in Maryland,
New Jersey
and Delaware.
ISE has
a long
history in
the
egg production
business and
enjoys a solid
reputation in
the marketplace.
We will
continue to honor
this
important legacy as
we build new
connections and customer
relationships. Cal-Maine
Foods has a
strong
record
of
driving
value
from
our
acquired
operations
with
a
proven
operating
model.
We
welcome
the
dedicated ISE operations team to the Cal-Maine Foods family
and look forward to a successful integration.
Working
together,
we
have
a
unique
opportunity
to
deliver
greater
value
to
both
our
customers
and
shareholders.”
About Cal-Maine Foods
Cal-Maine Foods,
Inc. is
primarily engaged
in the
production, grading,
packaging, marketing
and
distribution
of
fresh
shell
eggs,
including
conventional,
cage-free,
organic,
brown,
free-range,
pasture-
raised and nutritionally
enhanced eggs. The
Company, which is
headquartered in
Ridgeland, Mississippi,
is the largest
producer and distributor
of fresh shell
eggs in the
United States and
sells the majority
of its
shell
eggs
in
states
across
the
southwestern,
southeastern,
mid-western
and
mid-Atlantic
regions
of
the
United States.
Forward Looking Statements
Statements
contained
in
this
press
release
that
are
not
historical
facts
are
forward-looking
statements as that
term is defined
in the Private
Securities Litigation
Reform Act of
1995. The forward-
looking
statements
are
based
on
management’s
current
intent,
belief,
expectations,
estimates
and
projections
regarding
our
company
and
our
industry.
These
statements
are
not
guarantees
of
future
performance and involve risks,
uncertainties, assumptions and
other factors that are
difficult to predict
and may be beyond
our control. The factors
that could cause actual
results to differ materially
from those
projected
in
the
forward-looking
statements
include,
among
others,
(i)
the
risk
factors
set
forth
in
the
Company’s SEC filings
(including its Annual
Reports on Form
10-K, Quarterly Reports
on Form 10-Q
and
Current
Reports
on Form
8-K),
(ii)
the
risks and
hazards
inherent
in
the
shell
egg
business
(including
disease, pests,
weather conditions
and potential
for recall),
including but
not limited
to the
most recent
outbreak of highly pathogenic
avian influenza affecting poultry
in the U.S., Canada
and other countries
that
was
first
detected
in
commercial
flocks
in
the
U.S.
in
February
2022
and
that
first
impacted
our
flocks in December 2023, (iii) changes in the demand for and market prices of shell eggs and feed costs,
