August 16, 2011

Brazilian Development Bank almost doubles stake in JBS firm

The Brazilian Development Bank (BNDES) converted a large amount of JBS debt into equity, boosting the bank's shareholdings in the said firm from 17% to 30.4%, the Brazilian meat giant stated.

"This capitalisation does not in any way alter the controlling structure nor the administration of the company," Investor Relations Officer Jeremiah O'Callaghan said in a note to investors on the JBS S.A. website.

The move will reduce Batista family holdings (through its holding company FB Participacoes) to 47% from nearly 55%, according to Dow Jones.