North America’s largest cattle feeder JBS has reached a deal to sell a Canadian feedyard and neighboring farmland near Brooks, Alberta for $40 million to MCF Holdings Ltd.
The Lakeside Feeders yard has a capacity of 75,000 head and JBS took ownership of the feedlot in 2013, forming JBS Food Canada, according to Drovers CattleNetwork.
Under terms of the agreement, MCF will continue to supply cattle to the JBS Food Canada beef processing facility in Brooks, Alberta. MCF anticipates offering employment to current feedyard and farm employees upon closing.
The transaction is still pending a regulatory review and approval, JBS said in a statement.
This is the first sale of the JBS Five Rivers Cattle Feeding LLC since the announcement was made last month that the cattle feeding business would be divested by JBS, according to Drovers CattleNetwork.
Five Rivers operates 12 feedyards in Colorado, Kansas, Oklahoma, Texas, Arizona, Idaho and Alberta and markets more than 1.5 million head of cattle per year.
According to Drovers CattleNetwork, MCF is a subsidiary of Nilsson Bros. Inc., a livestock-based agricultural business in Alberta and owns diversified agricultural operations across the western Canadian provinces.
The sale comes as part of a $1.8 billion divestment plan after a bribery scandal has rocked Brazilian-owned JBS.
Upon completion of the transaction, one beef packing plant in Brooks, Alberta and a corporate headquarters in Calgary, Alberta will remain under JBS Food Canada Inc.
What foreign country own land in Texas? I am shocked that a foreign entity is allowed to own land in Texas..they are buying up our resources!! This should be taken up in the legislature!