July 1, 2010

 

Brasil Foods arises from Perdigão and Sadia merger

The merging of two Brazilian meat firms, Perdigão and Sadia, have resulted in a new company, Brasil Foods, with José Antonio do Prado Fay as CEO.

 

Over the past year, there have been a number of mergers and takeovers that took place in the Brazilian food industry. Brasil Foods, the new major meat company, is now situated in Sao Paulo, Brazil.

 

Sadia and Perdigao have already been operating under the common name and stock symbol of Brasil Foods but many aspects of their businesses remain separate until anti-trust regulator Cade gives the green light for a full merger of the companies' divisions, debt and revenues.

 

Currently, the market situation is under review so that the real size of each market and the share of Brasil Foods could be defined. Although the shareholders' base of Brasil Foods constitutes members from both previous companies, Sadia and Perdigão will keep functioning separately until final approval is given.

 

Brasil Foods is intended to be only the name of the holding company; brand names like Perdigão, Sadia and Batavo (for dairy products) are said to remain. The new merger will be doing business in over 100 countries worldwide.