JBS SA has signed an agreement to buy Brazilian poultry processor Agroveneto for 128 million reais (US$63.02 million), further expanding its recent entry into Brazil's poultry sector, according to reports.
JBS will take on Agroveneto's debts, and will give the owners 10 million reais (US$4.91 million) worth of JBS shares. Agroveneto will merge with JBS' poultry unit JBS Aves and add about 10 percent to the unit's daily processing capacity of 1.34 million birds, according to JBS. "The acquisition of Agroveneto complements JBS' business in the poultry sector in Brazil," said the company.
JBS shares traded on Sao Paulo's BM&FBovespa stock exchange were down 1.31 percent early on November 5 at 6.80 reais (US$3.34) per share.