Market News & Headlines >> Tyson Foods Tops Pilgrim's In Bid For Hillshire

Tyson Foods has emerged as the apparent winner in the bidding war over packaged meat company Hillshire Brands, offering $63 a share in a deal worth an estimated $7.7 billion.

News of the offer emerged Sunday evening, and a deal depends on Hillshire being released from  its prior agreement to buy Pinnacle Foods for more than $4 billion.

Pilgrim’s Pride, a poultry company that is majority owned by JBS, had initially bid $45 a share last month, and had upped its bid to $55 after Tyson submitted a $50 per share bid. Pilgrim’s CEO said the company was a “disciplined acquirer” and withdrew its bid in the wake of Tyson’s latest offer.

Hillshire’s stock was trading around $37 per share before the first Pilgrim’s deal was announced.

Tyson Foods estimated it can achieve $300 million in synergies through the deal with Hillshire, which owns several well-known brands such as Jimmy Dean sausage and Hillshire Farms lunchmeat.