Tyson Foods, Inc. has agreed to sell a poultry processing complex to House of Raeford Farms in order to “optimize its plant network,” the Arkansas-based company said Tuesday.
The Vienna, Georgia, poultry complex processes chicken for regional retail customers and employs hundreds of workers. If the sale goes through, House of Raeford Farms plans to continue operations using the existing workforce and grower network.
Financial details were not disclosed. Tyson did not immediately respond to a request for comment.
“Tyson Foods’ decision to sell the complex is part of its continued efforts to optimize its plant network, and the company will continue to service customer orders from other production locations,” the company said in a news release.
The agreement comes after months of cost cutting. Most recently, Tyson shuttered its Perry, Iowa, pork processing plant at the end of June. Approximately 1,200 workers lost their jobs as a result.
Over the past year or so, Tyson has additionally closed eight processing plants: six chicken and two fresh meats facilities.
Meanwhile, House of Raeford Farms, based in North Carolina, has been looking to expand its production footprint. Earlier this year, the company was circling Aiken County, South Carolina, for a potential site, Watt Ag reported, but it was “too early” for officials to make any comments.
In 2015, Tyson invested more than $110 million into the Vienna, Georgia, complex to transition production away from food service to retail. The move added about 100,000 square feet of space and created 500 jobs for the area.
The company originally acquired the production assets from Cargill in 1995, according to an investor fact book.