Pinnacle Foods (NYSE: PF) and Hillshire Brands (NYSE: HSH) have formally terminated their merger, which was valued at around $6.6 billion including debt. Originally, Hillshire had agreed to acquire Pinnacle back in May, but after the announcement, Tyson Foods (NYSE: TSN) and Pilgrim's Pride (NASDAQ: PPC) launched competing bids for Hillshire, with Tyson eventually prevailing. Given the deal termination, Pinnacle will receive a previously agreed-upon $163 million breakup fee.
Pinnacle is majority owned by The Blackstone Group, which took it private in 2007 for around $2.2 billion. The company, which manages food brands Mrs. Butterworth's, Tim's Cascade Snacks, Duncan Hines, Armour and more, employs around 4,400 people. It went public in March 2013 in a $580 million IPO; later, Blackstone whittled down its stake to about 51% in a secondary offering that reaped about $438 million.