Brazilian giant JBS buying 64% stake in Pilgrim's Pride

By KAREN ROBINSON-JACOBS
When Pilgrim's Pride Corp. emerges from bankruptcy as part of a Brazilian-based conglomerate, there are likely to be clear winners and some question marks.

Under a proposed deal announced Wednesday, Sao Paulo-based beef giant JBS SA would acquire 64 percent of Pilgrim's Pride for $800 million. Existing shareholders would own the remaining 36 percent. The value of the company, once the nation's largest chicken producer, would be $2.8 billion, including $1.5 billion of debt.

The sale is expected to anchor a proposed bankruptcy exit plan, which still must pass muster in court.

JBS said the purchase, along with its merger with the Brazilian beef and diary producer Bertin SA, also announced Wednesday, would push it past Tyson Foods Inc. to become the world's top meat processor.

Read Full Article at Dallas News