Marfrig increases meat capacity 41%
September 22, 2009
by Bryan Salvage
SÃO PAULO, BRAZIL — Eleven beef-processing plants in Brazil will be leased by Marfrig Alimentos SA, the world’s fourth-largest meatpacker, to increase capacity 41% according to a Bloomberg news story. The São Paulo-based company also filed to sell as much as 4.08 billion reais (US$2.3 billion) worth of shares, based on the Sept. 21 closing price.
Marfrig relayed through a statement that units leased from Frigorificos Margen SA and Mercosul SA, meatpackers that are both based in Brazil, will increase global cattle-slaughtering capacity by 8,800 animals a day to 30,150.
Marfrig also agreed to acquire Cargill Inc.’s Brazilian poultry and pork business last week for $706.2 million in cash. As a result, the meatpacker will evolve into Brazil’s second-largest poultry processor behind BRF Brasil Foods SA.