JBS acquires Ready Meal Producer Massa Leve30 December 2013
BRAZIL - Brazilian meat processing giant JBS is to buy ready meay and value added product processor Massa Leve for R$260 million.
A total of R$200 million will be paid through the transfer of shares held in treasury by JBS, which will need to be approved by the Brazilian regulatory authority, CVM.
The deal is also dependent upon the approval of the Brazilian Anti-trust authority, CADE.
Massa Leve has around 1,000 employees and specialises in the production of ready meals, frozen pizzas, fresh pasta products, pies, cheese bread, pastries and sandwiches.
Massa Leve was founded in 1992 in Rio Grande da Serra in the state of Sao Paulo.
The Company is a leader in the fresh pasta market and the third largest in ready meals, pizzas and sandwiches in Brazil.
With sales projected at around R$400 million in 2014, approximately 40 per cent of this comes from the sale of freshly prepared products while the balance of 60 per cent is generated through the sale of frozen food products.
The Company has a presence in the retail sector under the Massa Leve brand and is the largest producer of house brands for the major supermarket chains in Brazil.
"This transaction increases our presence in the food basket of Brazilian consumers and enriches our relationship with our client base" said Gilberto Tomazoni, CEO of JBS Foods.
After the regulatory approvals, Massa Leve will become part of the family of the JBS Foods business unit together with the legacy poultry, pork and further processed food products.
"Through this acquisition we are accelerating JBS strategy to grow in the value added product category. The transaction also allows us to increase our production capacity in all these product categories, generating relevant value for our Company and our shareholders", Wesley Batista, global CEO of JBS, said.
TheMeatSite News Desk