pointrider
Well-known member
I visit this forum from time to time, and I have gotten the feeling lately that the threads currently in the Bull Session are getting long in the tooth. Ha! So, maybe this will spur some new thoughts and comments.
24 FEB 09 - What some observers think about JBS (Brazil's beef giant), their fast international expansion, their current business perspective and what they see as future opportunities following the unsuccessful purchase of National Beef
Quotes:
"They were very successful growing and becoming the largest in Brazil. They had the experience of acquiring companies, primarily ones that were not operating that well, and then turning them around and integrating them."
HSBC (New York) Senior Vice-President for Global Research Pedro Herrera
"Its first international move came in 2005, when JBS purchased Swift Argentina. In March 2007 JBS went public on the Sao Paulo Stock Exchange, and 4 months later bought 100% of US-based Swift Foods Co. This made JBS the world's largest meat packing company in terms of slaughter capacity. It then bought 50% of Inalca, a large European beef processor with plants in Italy, Russia and Africa, and JBS plans to get even bigger."
Reuters News Staff
"They obviously take a long-term perspective. This is a very difficult industry, and they have very much a global view of how they are going to operate."
Livestock Marketing Information Center Economist Jim Robb
"JBS believes there's (buying) opportunities on further processing of meat, more consumer-ready products. There's a growth opportunity not only in the U.S. but also Australia and South America. One thing about this National deal not going through is that it gives a tremendous amount of liquidity (to look at opportunities) from value-added opportunities to distribution system opportunities."
JBS Company Spokesman Chandler Keys
"The company has additional leverage (debt) on the balance sheet because of the acquisitions and somehow they will have to reduce that as they go along in 2009. I won't be surprised if sometime in 2009 these guys would buy some more assets here and there, probably within Latin America."
Pedro Herrera
"The current global economic crisis may drive some smaller meat processors out of business, reducing competition and producing new takeover opportunities."
Reuters News Staff
I don't know anyone who believes that JBS will level off or slow down just because they were not able to complete the National Beef purchase. With them it's more like 10 steps forward and 1 step back. And I believe that the government in Brazil is going to do all they can to help them. The powers to be in Brazil are in tune with the enormous changes going on in the Australian beef industry and the way some companies operate there now. I believe JBS looks at Australia as their long-term primary competitor in the global market (not the U.S.), and they are trying to position themselves to win that battle. Look for more news about JBS real soon.
24 FEB 09 - What some observers think about JBS (Brazil's beef giant), their fast international expansion, their current business perspective and what they see as future opportunities following the unsuccessful purchase of National Beef
Quotes:
"They were very successful growing and becoming the largest in Brazil. They had the experience of acquiring companies, primarily ones that were not operating that well, and then turning them around and integrating them."
HSBC (New York) Senior Vice-President for Global Research Pedro Herrera
"Its first international move came in 2005, when JBS purchased Swift Argentina. In March 2007 JBS went public on the Sao Paulo Stock Exchange, and 4 months later bought 100% of US-based Swift Foods Co. This made JBS the world's largest meat packing company in terms of slaughter capacity. It then bought 50% of Inalca, a large European beef processor with plants in Italy, Russia and Africa, and JBS plans to get even bigger."
Reuters News Staff
"They obviously take a long-term perspective. This is a very difficult industry, and they have very much a global view of how they are going to operate."
Livestock Marketing Information Center Economist Jim Robb
"JBS believes there's (buying) opportunities on further processing of meat, more consumer-ready products. There's a growth opportunity not only in the U.S. but also Australia and South America. One thing about this National deal not going through is that it gives a tremendous amount of liquidity (to look at opportunities) from value-added opportunities to distribution system opportunities."
JBS Company Spokesman Chandler Keys
"The company has additional leverage (debt) on the balance sheet because of the acquisitions and somehow they will have to reduce that as they go along in 2009. I won't be surprised if sometime in 2009 these guys would buy some more assets here and there, probably within Latin America."
Pedro Herrera
"The current global economic crisis may drive some smaller meat processors out of business, reducing competition and producing new takeover opportunities."
Reuters News Staff
I don't know anyone who believes that JBS will level off or slow down just because they were not able to complete the National Beef purchase. With them it's more like 10 steps forward and 1 step back. And I believe that the government in Brazil is going to do all they can to help them. The powers to be in Brazil are in tune with the enormous changes going on in the Australian beef industry and the way some companies operate there now. I believe JBS looks at Australia as their long-term primary competitor in the global market (not the U.S.), and they are trying to position themselves to win that battle. Look for more news about JBS real soon.