USA

Pinnacle finalized the acquisition of JBS Five Rivers Cattle Feeding

Mergers & Acquisitions

Pinnacle Asset Management has finalized the acquisition previously announced on January 17, 2018, of the U.S.-based cattle feeding assets and farms, collectively known as JBS Five Rivers Cattle Feeding, from a major processor of beef and pork JBS USA, in a transaction worth nearly $200 million.

Posted on Mar 21 ,12:21

Five Rivers Cattle Feeding is the largest cattle feeding operation in the world, with roots in the U.S. dating back to the 1920s.

The transaction includes 11 feed yards across Arizona, Colorado, Idaho, Kansas, Oklahoma and Texas, with a feeding capacity of more than 900,000 head of cattle, and a long-term agreement to supply cattle to JBS USA beef processing plants.

The current Five Rivers management team will remain in place, led by president and CEO Mike Thoren, to ensure business continuity and build upon Five Rivers’ strong track record of innovation and stewardship.

“We are pleased to have completed this transaction and believe Five Rivers has significant opportunities for growth. We look forward to working closely with Mike and his talented team to build upon Five River’s position as the leading cattle feeding operation in the world. Additionally, this transaction furthers Pinnacle’s mission to develop a diversified, global, physical commodity platform,” Jason M. Kellman, Managing Partner and Chief Investment Officer of Pinnacle Asset Management, said.

Mr. Thoren added, “This is an exciting milestone in Five Rivers’ long history and a testament to the more than 600 skilled professionals who comprise the Five Rivers team. I am pleased to be partnering with Pinnacle, Arcadia, and Ospraie who share our vision for growth and our passion for providing high-quality fed cattle, including conventional, natural, certified humane and source-verified beef products, in a responsible and environmentally friendly way. We are grateful for JBS’ stewardship and are pleased to continue our relationship by remaining their leading supplier under a long-term agreement. The global demand for American beef remains robust and Five Rivers is well positioned to capitalize on the opportunities ahead.”

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