BLUE ASH, Ohio -- Tyson Foods will pay $3.2 billion to buy AdvancePierre, a suburban Cincinnati company specializing in packaged sandwiches.
Tyson will pay $40.25 per share, a 9.8 percent premium to AdvancePierre's closing share price Monday.
Tyson Foods Inc. will also assume about $1.1 billion in debt from the Blue Ash, Ohio, company.
The deal is expected to close in the third quarter.
AdvancePierre is a leading national producer of ready-to-eat lunch and dinner sandwiches, sandwich components and snacks. Its offerings include the All Beef Jalapeno Cheeseburger, Philly Cheesesteak and Monterey Style Grilled Chicken.
Tyson is shifting its portfolio to incorporate a heavier emphasis on proteins. On Monday, Tyson said that it might sell its Sara Lee frozen bakery business, its Kettle brand and Van's.
Tyson, based in Springdale, Arkansas, owns the Jimmy Dean and Ball Park brands.