Maple Leaf’s pork business spinoff Canada Packers Inc. makes debut on the TSX

Maple Leaf’s pork business spinoff, Canada Packers Inc., made its Toronto Stock Exchange debut on Oct. 2.

Maple Leaf completed the spinoff of its pork operations on Oct. 1.

The new standalone company, which will focus on hog production and processing, is being led by Dennis Organ, who joined Maple Leaf Foods in February 2023 as president of the pork complex.

Maple Leaf Foods is keeping a 16 per cent stake in Canada Packers and the two companies have entered into an evergreen supply agreement.

It will also be an anchor customer for Canada Packers which will supply pork for its prepared meats business.

Common shares of Canada Packers will trade under the symbol CPKR.

The spinoff will allow Canada Packers more opportunities for growth and innovation, Organ said in a release on Oct. 1.

Pork has been crucial to Maple Leaf’s business. In August, the company announced a profit in its second quarter compared with a loss a year earlier as pork markets steadied.

Reducing costs related to raising hogs and processing are among the primary objectives for Canada Packers after the spinoff, Organ had told analysts last year.

Now, Maple Leaf will be a more focused brand-led consumer packaged goods company, with a portfolio that consists of the prepared meats business, which houses brands like Maple Leaf and Schneiders; the poultry business; and the plant protein category.