Reser's Fine Foods Inc. will acquire Vaughan Foods Inc. for $18.25 million in cash, the food companies announced Wednesday.
Reser's is a family-owned company based in Beaverton, Ore., that makes salads, side dishes, dips and other specialty products. Vaughan Foods, which is traded over the counter, makes and sells refrigerated foods such as fresh-cut vegetables, fruits, salad kits and other products. It main facility is in Moore, Okla.
Under the terms of the deal, Vaughan stockholders will receive $1.58 per share — almost four times its closing stock price of 41 cents on May 13, the last trading day before the agreement was reached.
Vaughan will become a subsidiary of Reser's, and its board of directors already has approved the transaction. The deal is expected to close this fall.