JBS gets regulatory OK in Huon Aquaculture acquisition

JBS gets regulatory OK in Huon Aquaculture acquisition

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Deal is expected to be completed late this year

JBS S.A. has received approval from the Federal Court of Australia to acquire 100% of Huon Aquaculture Group Ltd.’s shares, effective November 17.

JBS announced in August that it would enter the aquaculture sector with the acquisition of Australian salmon producer Huon Aquaculture Group Ltd. in a deal valued at AUD425 million (US$312.9 million). The deal is expected to be completed in late 2021.

“This is a strategic acquisition, which marks the entry of JBS into the aquaculture business. We will repeat what we did previously with poultry, pork and value-added products – to make our portfolio even more complete,” said Gilberto Tomazoni, global CEO of JBS, in a statement at the time. “Huon has 33 years of experience in sustainable production, with superior technology, higher quality products that are widely recognized by the Australian consumer, in a sector with excellent growth prospects around the world. Aquaculture will be a new growth platform for our businesses.”

Huon is the second largest salmon aquaculture company in Australia, with vertically integrated operations based in Tasmania that include hatcheries, marine farming, harvesting, processing, marketing, sales and distribution.

“Huon has invested more than AUD350 million over the last five years in industry leading operational infrastructure and sustainable practices through the salmon production cycle, positioning the company for profitable growth,” JBS said. “Primary products include whole salmon fresh salmon fillets, portioned modified atmosphere packaging and other value-add products for the growing domestic wholesale, retail and export channels.”

According to WATTPoultry.com’s Top Poultry Companies database, Brazil-based JBS closed 2019 as the world’s largest protein supplier and second largest food company. Subsidiary Seara produces poultry, pork and processed foods in Brazil and exports to more than 140 markets. Aside from poultry, JBS produces beef and hides for domestic markets through JBS Brazil; beef and veal products in the United States, beef in Australia and Canada through JBS USA Beef; and pork products in the United States through JBS USA Pork.

JBS operates 49 feed mills for chicken and pork production through JBS USA, and it operates on all continents, according to FeedStrategy.com’s Top Feed Companies database.