JBS raises stake in Pilgrim's Pride by US$107.2M, now owns 75.3% of company
Nevin Barich
SAO PAULO
,
March 14, 2012
(press release)
–
JBS (JBSS3) informs its shareholders and the market in general that the Company purchased through its wholly owned subsidiary, JBS USA Holdings Inc., 18,924,438 shares of Pilgrim's Pride Corporation (PPC). These shares were the property of Lonnie "Bo" Pilgrim and associates and represent substantially all the remaining shares of the founder and former controlling shareholder of PPC.
The transaction was finalized on March 12th 2012 and the total amount paid was US$107,2 million, representing approximately US$5.69 per share. Upon concluding this deal, JBS' stake in PPC will be elevated from the present 68% to 75,3%. The share purchase represents yet another gesture from JBS demonstrating the confidence that the Company has in the chicken sector in the USA. With a competitive cost environment and the perspective to see continued export growth from the US, JBS believes that there is potential to have substantial margin improvement in this business, representing enhanced value for both PPC and JBS shareholders.
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