CEDAR RAPIDS, IA — An Israeli food company has offered $40 million for the bankrupt Agriprocessors meatpacking plant in Postville and a smaller, subsidiary plant in Nebraska.
The Postville plant was the largest kosher-meat producer in the country before last May, when it was the site of an immigration raid that sparked a spiral into bankruptcy.
Israeli Company Offers $40 Million for Agriprocessors
CEDAR RAPIDS, IA — An Israeli food company has offered $40 million for the bankrupt Agriprocessors meatpacking plant in Postville and a smaller, subsidiary plant in Nebraska.
The Postville plant was the largest kosher-meat producer in the country before last May, when it was the site of an immigration raid that sparked a spiral into bankruptcy.
The Israeli company, Soglowek Nahariya Ltd., produces kosher meat and vegetable products. It made the offer Sunday in a filing with the bankruptcy court here.
Joseph Sarachek, a bankruptcy trustee who is temporarily running Agriprocessors, said the offer was encouraging. Sarachek had downplayed the significance of a December offer from a little-known Florida investment firm. “This is much more serious,” he said of the Soglowek offer. “This is a major, major food company in Israel.”
Still, Sarachek portrayed the new offer as an opening bid in what will essentially be an auction for the Postville plant and a smaller, subsidiary plant, called Local Pride, in Nebraska. He predicted it would be a few months before a sale is completed and a new owner takes over.
Rumors had swirled for several weeks that Soglowek was among possible buyers of Agriprocessors. Earlier this month, Chief Executive Officer Eli Soglowek responded to a request for comment with an e-mail that said his firm had looked at the company but was not making an offer. “We couldn’t reach any sound ground for understanding with the trustee and the bank involved,” he wrote then. He could not immediately be reached for comment today.
The Postville plant once was the dominant employer in the region around Postville. Sarachek reopened its chicken production line after the plant closed for a few weeks last fall. He said today that he still is trying to reopen the beef-production operation, which is more complicated.
Yoni
Does anyone know what it was once worth?? Also I do not know about anyone else but I loved rubashkin’s and loved that it was owned by a Lubavitcher. I do not want some snag buying the company.
Hetsken zich
SOF KOL SUF! MAZEL TOV! SOLD! TAKE IT! DON’T HANDLE! WRAP IT UP WITH A BLUE RIBBON ANDDON’T LOOK BACK!
yossi elbaz
What happened to mull ah chanins 23 million offer that I read in a filing about him placing the funds in escrow?
MISNAGID AND PROUD
MR. YONI,
I AM A MISNAGID BUT I AM A GREAT FRIEND AND HAVE ALOT OF RESPECT FOR CHABAD LUBAVITCH AND DONT APPRECIATE THE ”SNAG” COMMENT.
To Yoni
RE: “I do not want some snag buying the company.”.
PLEASE HAVE AHAVAS YISROEL – WORDS LIKE THAT SHOULD NOT COME OUT OF A LUBAVITCHER’S MOUTH.
LoYechi770Jerusalem
Yoni who says Zoglovek is a snag?
Zoglovek is a chiloni Israeli.
lubav and proud
MR. YONI,
I AM A MISNAGID BUT I AM A GREAT FRIEND AND HAVE ALOT OF RESPECT FOR CHABAD LUBAVITCH AND DONT APPRECIATE THE ”SNAG” COMMENT.
and i’m a lubav and i don’t appreciate the comment, either.
jude in Iowa
Hopefully this will go through and things can get up and running again…
To Yoni- Fellow Yidden
To Yoni:
Be happy that a fellow Yid (if he is frum, that would be wonderful, whether lubavitch or Misnagid or whomever) is buying the company, and not a goy!
I am lubavitch and pro ahavas yisroel and please do not say any names that would be derogatory to someone else.