February 26, 2008
Brazil's Marfrig acquires mid-sized pork company
Brazilian beef company Marfrig said Monday (February 26, 2008)it will acquire 100 percent of a mid-sized pork-meat company, Carroll's Food do Brasil SA, for 42.3 million Brazilian reals (US$24.8 million).
Marfrig is one of Brazil's top five beef exporters.
The deal is still in the final phase of due diligence, Marfrig said in a press release.
Carroll's has the capacity to process 1,000 hogs daily and is located near large grain producers, lowering transportation costs on costly animal feed.
Carroll's is the largest feedstock facility in Mato Grosso state in Brazil's center-west, with the capacity to make 50 tonnes an hour, according to Marfrig.
The Carroll's Food purchase was made via Marfrig subsidiary Mabella.
"These investments compliment Marfrig's strategy to increase its presence in the animal-proteins segment," said Ricardo Florence, Marfrig's director of investor relations.
The acquisition gives Marfrig the capacity to process 6,400 hogs per day in four states.