Johnsonville seeks sausage segment growth with Salm acquisition
Last Updated on January 9, 2024 by Admin
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SHEBOYGAN FALLS, WIS. — Johnsonville said it acquired its longstanding co-packer Salm Partners from Entrepreneurial Equity Partners on Jan. 3. Financial details of the acquisition were not disclosed.
A co-manufacturer of co-extruded food products, Salm produces fully cooked sausage and premium hot dogs from its two production plants in Denmark, Wis.
“We welcome Johnsonville as our new owner,” said Keith Lindsey, president of Salm. “We look forward to a continued strong partnership and working together to grow the ready-to-eat sausage category, providing a path to growth for all our partners.”
Salm Partners will remain its own entity, retaining its current leadership, business model and co-packing operations for other customers.
With the acquisition, Johnsonville looks to demonstrate its commitment to growing the ready-to-eat (RTE) sausage category at large, with expanded access to Salm’s innovative meat processing technologies.
As Johnsonville transitions a portion of its RTE sausage production to Salm throughout the new year, the company anticipates a few workforce adjustments.
By the end of 2024, Johnsonville plans to close its Meadowside plant in its Sheboygan County network. All 390 workers at the plant will continue to have a position with the company through at least the end of June. Johnsonville is offering a stay-on-bonus for any Meadowside team members who choose to stay with the company through June.
“While this acquisition is key to the long-term success of our RTE sausage business — and the larger fully cooked sausage category in general — it’s not lost on us how a plant closing is distressing for our members to hear,” said Don Fussner, chief executive officer, Johnsonville. “We value their contributions and expertise, and we are working diligently to retain as many of our valued members as we can in other roles here in Sheboygan Falls and across our manufacturing network.”
Johnsonville’s Countryside and Riverside facilities will remain fully operational.
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