Rivalea Holdings: JBS completes purchase after watchdog approval
The Brazilian-owned meat-processing giant has formally completed its purchase, to become a major force in pork.
Major meat processor JBS Australia today wrapped up its acquisition of Rivalea from Singapore-listed food company QAF Limited.
The overall price for Rivalea Holdings and Oxdale Dairy Enterprise, known together as Rivalea, was $175 million.
Today’s announcement follows watchdog approval in December, despite concerns from smaller-scale pork producers.
In December, the Australian Competition and Consumer Commission (ACCC) said the acquisition by Brazilian-owned JBS, valued at $175 million, could go ahead, finding “the transaction is not likely to substantially lessen competition”.
Rivalea Holdings was also a majority shareholder in Diamond Valley Pork (DVP).
JBS Australia chief executive Brent Eastwood said his business would continue to provide kill services at DVP for customers.
Management had provided this assurance directly to all DVP customers in writing, as well as to the Victorian Farmers Federation and the ACCC.
“Rivalea is a crucial part of Australia’s pork supply chain and we believe we can work together to create an improved and more efficient pork processing business for Rivalea customers, by using JBS’s experience as a major meat and food processor,” Mr Eastwood said.
“JBS is proud to say we will be the last owner of Rivalea. JBS has a long and proud history of supporting and growing its Australian and New Zealand businesses over the long-term, investing heavily in its local operations and domestic brands.”
The JBS acquisition of Rivalea has not been met with universal approval in the pork sector.
Last month, Jonai Farms owner and pig producer Tammi Jonas said she was “disappointed” in the ACCC’s decision.
“It’s just awful. JBS has been acquiring properties all year, and it’s the same in America,” Ms Jonas said.
“Someone should be checking very closely how much of the meat processing sector they do own.”
Americans get approval for $700m Mortlake renewable energy hub
Almost 800,000 solar panels will be installed across a 1000ha property in the Western District after a huge project was given the green light. See the details.
Beef industry welcomes deforestation delay
Proposed legislation that would ban EU imports produced on deforested land has been delayed. Here’s how the decision could affect Australian agriculture.