According to the Financial Times, the family behind Cal-Maine Foods earned about $320 million from selling part of its controlling stake after egg prices, profits, and the company’s stock value surged. The sale came amid a federal investigation into allegations that Cal-Maine and other producers manipulated egg price benchmarks.
The US Department of Justice (DOJ) announced settlements requiring major egg producers Cal-Maine Foods, Hickman’s Egg Ranch, and Versova to stop alleged coordinated manipulation of egg price benchmarks. The DOJ and 17 state attorneys general alleged that the companies worked together to influence Urner Barry egg price quotations, which affect prices paid by retailers and consumers nationwide.
The companies were accused of coordinating bids and market activity between 2022 and 2025 to artificially increase benchmark prices during a period when egg prices were already rising due to avian flu and supply disruptions. The proposed settlements require the companies to end such practices, implement antitrust compliance programs, and donate 53 million eggs while making $3.3 million in payments to states.
The companies denied wrongdoing, saying egg prices were affected by legitimate market factors such as disease outbreaks, inflation, and supply challenges.