The US government should soon allow the biggest acquisition of a US company by a foreign firm. This would be the Smithfield Food Corp. and Shuanghui International Holdings deal valued USD4.7 billion, said a person familiar with the matter.
A government approval for the acquisition of Smithfield by Shuanghui would mean a major step forward for the transaction. However, the deal needed to get shareholder's approval and at least one shareholder who sought a higher price for the deal.
The acquisition deal had stirred concern regarding food safety and other issues had raise to the Committee on Foreign Investment (CFIUS) to the US. The review of the deal by the said agency was scheduled to be concluded by Saturday.
Meanwhile, the source said that the deal would likely get approval. This was because the case was no different from the 2012 acquisition of AMC Theaters by Dalian Wanda Group. The acquisition for AMC was then valued USD2.6 billion.
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