TORONTO - Maple Leaf Foods (TSX:MFI) has agreed to sell its commercial turkey farms, hatchery operation and breeding farms to two Ontario-based companies.
The commercial turkey farms go to Ernald Enterprises Ltd., which operates five commercial turkey and chicken growing operations in southern Ontario.
Ernald will also supply live turkeys to a Maple Leaf processing plant in Thamesford, Ont., under a related five-year supply agreement.
Separately, Maple Leaf will sell its breeder farms and hatchery operation to Cuddy Farms Ltd., another Ontario-based turkey supplier.
Maple Leaf didn't disclose financial details of the transactions in its announcement Monday.
However, it said "the vast majority" of about 100 employees in its turkey operations will move to Ernald and Cuddy once the transactions close.