At least one shareholder says Smithfield Foods could be worth more than the $4.7 billion being offered by China's Shuanghui company.
An investment fund called Starboard Value LP, which owns 5.7 percent of Smithfield says the hog producer/processor would get a lot more if it were split-up into three parts and sold separately.
Starboard Chief Executive Jeffrey Smith is sending a 16-page letter to Smithfield board members saying if broken up into pork production, pork processing and international business, the three entities would appeal to more buyers and could garner a collective $44 to $55 per share compared to the $34 per share being offered by Shuanghui.
Last March, Continental Grain, at the time another big Smithfield shareholder had called for a break-up. Continental sold most of its Smithfield stock when the Shuanghui deal was announced.