Smithfield Foods announced that it will buy a bankrupt Texas meat company, Gorges/ Quik-to-Fix Foods, for $34 million in cash.

The U.S. Bankruptcy Court in Delaware, which is overseeing Gorges/ Quik-to-Fix’s bankruptcy proceeding, is allowing Smithfield to buy the assets and business but not the debt of the Dallas-based company.

The privately held Gorges/ Quik-to-Fix, which sells “ready-to-eat” chicken, beef and pork products, has annual revenues of about $140 million.

Smithfield saw a chance to buy the company in a very cost-efficient manner, according to a company spokesman. Smithfield, the number one pork packer and pork producer, has $5.9 billion in annual sales.

The Associated Press