Here is a summary of the companies involved in a series of acquisitions in the meatpacking industry:
JBS SA: Based in Sao Paulo, Brazil, it is a leading beef processor in Latin America and exporter around the world. JBS had $11.9 billion in revenue in 2007 with operations in Brazil, Argentina, the U.S. and Australia.
NATIONAL BEEF PACKING CO. LLC: Based in Kansas City, Mo., the nation’s fourth-largest beef processing company. Its majority owner is U.S. Premium Beef LLC. JBS agreed to acquire National Beef in a cash-and-stock deal worth about $465 million in cash, $95 million in JBS shares and the assumption of $410 million in debt. In fiscal year 2007, National Beef generated sales of $5.6 billion and processed 3.9 million head of cattle. Operations include Liberal, Kansas City, and Dodge City, Kan.; Brawley, Calif.; Hummels Wharf, Penn.; Moultrie, Ga.
SMITHFIELD BEEF GROUP: Division of Smithfield Foods Inc. of Smithfield, Va., which is the fifth-largest beef producer in the U.S. JBS will pay $565 million for the beef group in cash and increase capital in feedlot operator Five Rivers by $200 million. Five Rivers is a shareholder in Smithfield. Smithfield Beef processes more than 2 million head of cattle a year and its sales exceed $2.5 billion annually. It has major facilities in Green Bay, Wis.; Tolleson, Ariz.; Plainwell, Mich.; and Souderton, Pa.
TASMAN GROUP: Australia’s largest meat processor based in Brooklyn, Australia, with operations across the country. JBS will pay $100 million for the group and an existing debt of $50 million in the name of the Australian company.
