Hormel Foods and Herdez Del Fuerte have announced the closing of a 50/50 joint venture agreement to create MegaMex Foods, which will market Mexican foods in the US.
The venture significantly expands the existing agreement between the two companies and produces a portfolio with initial revenue of about $200 million, said Hormel Foods.
MegaMex Foods's portfolio includes brands such as Chi-Chi's, Herdez, La Victoria, Embasa, Dona Maria, etc.
Luis Marconi, managing director at MegaMex Foods, said: "The close of this exciting transaction marks the beginning of new leadership in the Mexican foods category in the US with MegaMex Foods. We look forward to growing the Mexican foods category by serving as a one-stop-shop for our retail partners, with brands and products that appeal to consumers across geographies and demographics."