NEW YORK — Tyson Foods Inc. has won a bidding war to gobble up Hillshire Brands, the maker of Jimmy Dean sausages and Ball Park hot dogs.
Tyson had been vying with rival poultry producer Pilgrim’s Pride to acquire Hillshire, which wrapped up its bidding process Sunday. Tyson’s final offer ended up at $63 per share, about two weeks after Pilgrim’s Pride made an initial bid of $45 per share.
Pilgrim’s Pride, owned by the Brazilian meat giant JBS, said Monday that it was bowing out of the competition.
The deal is not sealed yet, though. It is contingent on Hillshire’s not going through with its offer to acquire Pinnacle Foods Inc., which makes Birds Eye frozen vegetables and Wish-Bone salad dressings. Pinnacle could allow Hillshire to do its deal with Tyson, leaving Pinnacle with a $163 million breakup fee. Or it could force Hillshire shareholders to vote on whether they’d prefer a merger with Pinnacle.
A Pinnacle representative didn’t return a call for comment.
In a conference call with reporters, Tyson’s chief executive, Donnie Smith, said he was confident the $63 offer would end up being worthwhile for Tyson shareholders, despite how high the price went. ‘‘Great brands like Jimmy Dean and Ball Park just don’t become available very often,’’ Smith said.
Hillshire’s stock closed at $36.95 on May 9, the day before the company announced the Pinnacle deal. On Monday, it closed up 5.3 percent at $62.06.
Tyson, like Pilgrim’s Pride, has been looking to boost its presence in brand-name, prepared foods like Jimmy Dean breakfast sandwiches. Those types of products are more profitable than fresh meat, such as chicken breasts, where there isn’t as much wiggle room to pad prices.
While Tyson and Pilgrim’s Pride already sell some brand-name products, their businesses have been more focused on supplying supermarkets and restaurant chains.
Tyson also noted the potential for cost savings by combining supply chains, transportation, and other operations with Hillshire’s. Smith said it was too early to comment on how many jobs could be cut as a result of the deal.
Tyson’s offer will be in place until Dec. 12, the final termination date of the Pinnacle deal.
Hillshire Brands noted it does not have the right to end the deal with Pinnacle on the basis of the Tyson offer, or enter into an agreement with Tyson before the deal is terminated.
‘‘There can be no assurance that any transaction will result from the Tyson Foods offer,’’ Hillshire said in a statement.
Hillshire, based in Chicago, had been trying to diversify its own portfolio by moving into other areas of the supermarket with the $4.23 billion acquisition of Pinnacle. Some investors questioned the wisdom of that deal, given the outdated image of many Pinnacle brands and the differences in the two companies’ product portfolios.
The Tyson offer is worth about $7.75 billion, based on Hillshire’s 123 million shares outstanding. Tyson values the deal at $8.55 billion, including debt. Tyson shares fell 2.6 percent to $37.50 on Monday.