OSI Group, Acquisitions For Business Growth

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OSI Group, LLC, founded in 1909, with corporate headquarters in Aurora, IL, is a food processing company who’s target market is food service and retail brands. Not only are they one of the largest suppliers of meat products to food service in the US, OSI Group also offer services in packaging, contract manufacturing and chain management. To expand upon their business they made two acquisitions, Baho Food and a facility owned by Tyson Foods. Let’s begin with Baho Food.

The acquisition of the Dutch manufacturer, Baho Food by OSI in August 2016 should be of no surprise. OSI was looking for a company that would help to expand their market in Europe, and the Dutch company filled the requirements. Baho Food produces deli meat, snacks and other convenience foods to the same target market.

David McDonald, president and chief operating officer of OSI felt the acquisition was a win-win situation for both companies. Here is what Baho Food’s brings to the table.

Managing director, John Balvers of Baho Foods, feels that with the combined strengths of both companies, they will be able to provide a broader range of products to their customers. Moreover, it will help Baho Food to grow faster, while helping both companies achieve their desired strategic goals.

In June of 2016, OSI purchased a food processing and storage warehouse from Tyson’s Foods. The facility is located in Chicago, Illinois and has 200,000 square feet. Kevin Scott, Senior Executive Vice President of OSI, felt that the purchase of the facility would give the increased infrastructure capabilities needed for their growing business.

The Chicago plant was a part of the prepared foods business of Tyson Foods that had announced it’s closure in November 2015, along with another plant located in Wisconsin.  This closing allowed OSI an opportunity to purchase a facility that was close to their company headquarters.

OSI is a privately held company with 60 facilities in 16 countries.

More information about OSI Group, click here.

One thought on “OSI Group, Acquisitions For Business Growth”

  1. They have five subsidiaries, with plants in Germany and the Netherlands, which supplies clients in 18 European countries. The reason for the closing by Tyson was to consolidate and improve efficiencies in their own business. It definitely means that paper writers can also observe what went wrong with them when it was time.

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