Simmons Foods sells propane operations

Siloam Springs-based poultry producer Simmons Foods Inc. recently sold its propane business to MFA Oil Co. Terms of the deal were not disclosed.

The Columbia, Mo.-based farmer-owned cooperative acquired Simmons Energy Solutions on Sept. 1, according to a news release. The deal included the propane supplier’s locations in Decatur and Jay, Okla.

“As a food company, we have determined that propane operations are outside of our core business,” said David Jackson, chief operating officer for Simmons Foods. “We are confident that we leave our customers in good hands with MFA Oil, and we will work together to ensure a seamless transition process.

“We believe their business approach and culture is a good fit for our valued customers and team members,” Jackson added. “We are pleased that MFA Oil plans to extend job offers to the majority of team members currently working in this operation. Our human resources team will be assisting all affected team members with the transition.”

Simmons’ propane business had a team of nine employees, said Julie Maus, director of communications for Simmons Foods. The operation had been a part of Simmons Foods since July 2008, when it acquired Peterson Farms’ broiler operations.

MFA Oil has provided fuels, propane and other petroleum products since 1929.

“The Simmons Energy acquisition fits well with the core geography we serve,” said Kenny Steeves, senior vice president of MFA Oil operations. “Our operational footprint overlaps with Simmons Energy and should contribute to the efficiency gains we hope to see through this acquisition. As a farmer-owned cooperative, our focus on customer service will align well with the poultry growers and customers that we will be serving in northern Arkansas and Oklahoma.”