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ISA Challenges the US Layer Market

22-Dec-2014

ISA has announced plans to purchase Midwest Farms LLC (part of Midwest Food Association) and will acquire the Pennsylvania based hatchery Pennovo (Wagner family, formerly Penn Embryo) and the Virginia based hatchery, Brickland (MFA). ISA will create a new company, ‘Hendrix-ISA’, to serve the US-market with premium quality layers. With the capacity to produce close to one million commercial layers a week, Hendrix-ISA will expand their leadership in the US layer market.

US egg producers will have direct access to the breeding company through Hendrix-ISA. That direct access will provide the opportunity for the team to review field results and breed expectations, thereby giving the layer industry a voice on future breeding programs that will benefit US egg producers.

Hendrix-ISA offers the opportunity to purchase premium quality, day-old chicks directly from the global leader in layer genetics. The fully modernized, state-of-the-art facility, Pennovo, will produce up to 500,000 high quality, commercial layers per week, while the existing Brickland Hatchery has a production capacity of up to 400,000 high quality, commercial layers per week.

Hendrix-ISA will focus on the leading products - Shaver White and Isa Brown. In addition, Bovans-, Dekalb-, Hisex- and Babcock brands will be distributed throughout Hendrix-ISA as parent stock and  as commercial layers. Bovans White and Brown and Dekalb White products will remain available in the US via Centurion Poultry Inc. Distribution of ISA products in the US from Merrill, Westwind, Pitman and other Hendrix affiliated hatcheries will remain the same.

“For a long time, the US market has had limited choices in egg layer genetics,” said Peter Mumm, the new Managing Director of Hendrix-ISA, LLC. “Now the layer industry has another choice. The excellence of Hendrix-ISA’s genetics, our team of poultry specialists, and our world-class breeding- and hatchery facilities will provide the US market with the highest quality in genetics and service.”

Thijs Hendrix, Founder of Hendrix Genetics, commented about the Hendrix-ISA initiative in the US: “It fits perfectly in our strategy to selectively integrate further into the supply chain, to grow in the US and to work closely with our strategic partners”.

Bruce Lackey, General Manager of Midwest Foods Association (MFA) stated: “The MFA purchasing cooperative has worked very hard over the past twelve years to develop our Midwest Farms hatchery and breeder farm complex into something very special. It is now time for us to spin off that division to a company that is equally special - Hendrix-ISA. With this divestiture, MFA can now get back to its roots and focus strictly on serving member needs and developing new buying programs.”

About ISA

With roots dating back to the first half of the 20th century, ISA is the globally operating breeder and distributor of the Shaver-, Bovans-, Dekalb-, Isa-, Hisex- and Babcock brands. Suitable for traditional and alternative production systems, ISA’s products lay prolifically under different climatic conditions. ISA is a business unit of Hendrix Genetics; a privately-held, international multi-species breeding company with activities in layer, turkey, swine, traditional poultry and aquaculture breeding. ISA breeds pure line layers in seven R&D centers, located in Canada, France and the Netherlands, and produces parent stock day-old chicks in five main production centers, located in Canada, Brazil, Netherlands, France and Indonesia. ISA is headquartered in Boxmeer, the Netherlands.

About Midwest Foods Association (MFA)

MFA was established in 1975, as a means for a select group of US egg producers and processors to cooperatively purchase packaging materials. The participation-based organization now pools volume on, and places out for competitive bids, the following commodities: corrugated egg cases, molded pulp filler flats, molded pulp and foam egg cartons, liquid and dry methionine, poultry vaccines and vitamin-mineral premix. Its sixteen members currently represent 35.6 million layers in the US.