Five Rivers is made up of 11 feeding operations in six states, including Kansas, Oklahoma, Idaho, Arizona and Texas.
“Coupled with the acquisition of Five Rivers US's assets, the buyer signed a long-term contract to supply cattle to JBS in North America,” according to JBS.
Jason M. Kellman, managing partner and chief investment officer of Pinnacle Asset Management, said in a statement, “We are pleased to have completed this transaction and believe Five Rivers has significant opportunities for growth. We look forward to working closely with Mike [Thoren] and his talented team to build upon Five River’s position as the leading cattle feeding operation in the world. Additionally, this transaction furthers Pinnacle’s mission to develop a diversified, global, physical commodity platform.”
Five Rivers’ business was started in the 1920s. CEO Mike Thoren and his management team are expected to continue in their roles with the company.
“This is an exciting milestone in Five Rivers’ long history and a testament to the more than 600 skilled professionals who comprise the Five Rivers team,” Thoren said in a statement. “I am pleased to be partnering with Pinnacle, Arcadia, and Ospraie who share our vision for growth and our passion for providing high-quality fed cattle, including conventional, natural, certified humane and source-verified beef products, in a responsible and environmentally friendly way. We are grateful for JBS’ stewardship and are pleased to continue our relationship by remaining their leading supplier under a long-term agreement. The global demand for American beef remains robust and Five Rivers is well positioned to capitalize on the opportunities ahead.”
Jeremiah O'Callaghan, investor relations officer for JBS, said, “With the closing of the sale of Five Rivers US, JBS concludes a successful implementation of its Divestment Program, which helped to significantly deleverage and improve the company's liquidity.”