Tyson Foods  (TSN) - Get Report and AdvancePierre Foods  (APFH) shares were both rising premarket after Tyson announced that it purchased the company for $40.25 per share, a premium of 16% over the stock's previous closing price. The total price of the transaction is approximately $4.2 billion, including $3.2 billion in equity. 

AdvancePierre has a portfolio of ready to eat lunch and dinner sandwiches and fits with Tyson's goal to expand its fresh made food catalog. Tyson forecast cost synergies from the transaction of $200 million, to be fully realized after three years.