Posted on Wednesday 24 June 2015 by Ulster Business
Inside one of Moy Park's poultry processing plants
The sale of Moy Park will see its Brazilian owner more than double its original investment in less than seven years.
Marfrig bought the Craigavon headquartered poultry producer in 2008 for $680m (£430m) and announced earlier this week an agreement to sell the business to fellow Brazilian company JBS SA for $1.5bn (£950,000), a profit of £520m.
JBS is the second largest global food business and the largest poultry company in the world and, subject to regulatory approval, will be buying Northern Ireland’s largest company.
Named after founder José Batista Sobrinho who started the business from a butchers shop in 1953, JBS has been on the acquisitive trail since 2005, building up operations in 24 countries on five continents.
The Batista family still own more than 40% of the business, while some of Brazil’s largest state-owned banks account for much of the remainder.
Moy Park CEO Janet McCollum said welcomed the deal.
“We are very pleased and encouraged by this development which is great recognition for Moy Park,” she said. “The Moy Park team, together with our dedicated farming partners, will continue to meet and exceed the needs of our customers and consumers throughout the UK, Ireland and mainland Europe providing innovative, top quality products underpinned by the highest standards of animal welfare.”
Marfrig will use the proceeds from the sale to pay down debt, a move which has been welcomed by the Brazilian stock market.
According to latest accounts filed at Companies House, Moy Park made pretax profits of £34m for the year ending December 2013, on turnover of £1.2bn.