JBS USA Food Co. has reached an agreement to sell its Five Rivers Cattle Feeding operations in the United States for $200 million.
Five Rivers runs 12 beef
feedlots – one in Idaho, four in northwest Texas, five in Colorado and one each in Kansas, Idaho
The buyer is investment
company Pinnacle Asset Management.
JBS is selling assets to
raise $1.8 billion to reduce debts and start paying a $2.5-billion fine for
bribing Brazilian government officials.
JBS is the world’s largest
It got $40 million when it
sold the Alberta feedlot it bought as part of the $100-million purchase of XL
Foods Inc. after it was hit by the largest-ever Canadian recall of beef because
of food poisoning.
The deal Five Rivers deal
commits the owners to marketing cattle to JBS packing plants.
Pretty soon the majority of farming will be owned by pension funds and asset management companies.