The Seaford-based Allen and Amick Farms LLC have announced that they have signed an asset purchase agreement that includes the Hurlock processing plant and hatchery as well as the feed mill in Delmar, according to News Journal.

Bob Turley, president and CEO of Allen Family Foods, commented: "This sale allows both companies to move forward with their strategic business plans: Allen's as a premier retail supplier of retail deli and tray-pack products, and Amick as a high efficiency large bird deboner."

Allen's announced in April an expansion of its Harbeson facility. Mr Turley said the company also will expand its processing plant in Cordova, Maryland, and plans to increase total production in those two plants to exceed what is currently being produced in three.

Amick will continue to operate its South Carolina plant, which processes more than 1.3 million birds a week.

Ben Harrison, president and CEO of Amick, said: "We believe our plans for increasing production at the Hurlock facility will offer further opportunities for growers, employees and the local community."

The companies said the Hurlock operations provide jobs to more than 1,100 associates and have contracts with more than 100 poultry growers on the Eastern Shore.

They plan to complete the sale by the end of the month, according to News Journal.