JBS USA recently reached an agreement to purchase a production facility in Ankeny, Iowa, with plans to build out the largest ready-to-eat bacon and sausage plant in its U.S. portfolio. The facility was previously owned and operated by Hy-Vee.

The 186,000-sq.-ft. facility will be transformed to produce fully cooked bacon and sausage products. The location previously produced other types of food for Hy-Vee stores. Due to the type of work involved, JBS is looking to hire employees who previously worked at the facility for the retailer. The plant is expected to be operational by mid-2026 and will create approximately 400 jobs when all phases of the project are finished.

“Today’s announcement aligns with our long-term strategy of offering more value-added and prepared foods products to meet the needs of our customers and consumers,” says Wesley Batista Filho, JBS USA chief executive officer. “We are proud to grow our operations in Iowa, where we already operate four production facilities, with another expected to break ground later this year.”

In May, the company revealed its intention to build a fresh sausage production facility in Perry, Iowa. JBS also operates plants in the Iowa cities of Council Bluffs, Marshalltown and Ottumwa.

“This facility in Ankeny will not only expand our prepared foods business in the U.S., (but) it will also benefit from synergies and strategic supply of product from our other plants in the region,” says Rick Foster, head of JBS USA Prepared Foods.

In 2021, JBS USA opened a fully cooked bacon facility in Moberly, Mo., which has already been through an expansion. In Perry, the fresh sausage plant will provide raw material to this new facility, allowing the company to produce fully cooked sausage items, in addition to bacon, supporting efforts to meet customer demand for these types of products.

With a focus on supporting rural America and investing in its team members, JBS USA will offer its Hometown Strong and Better Futures programs in Ankeny. Through the Hometown Strong program, the company is investing in rural communities across the U.S. and Canada, supporting infrastructure, childcare, housing, schools and more. The Better Futures program provides tuition-free community college for team members and their children.

The transaction is subject to closing conditions.