Brazil’s Marfrig raises stake in competitor BRF to nearly 31.66%

RIO DE JANEIRO, BRAZIL – Marfrig Global Foods (MRFG3) meat processor has raised its equity stake in food company BRF (BRFS3) to approximately 31.66%, according to a notice to the market on Thursday.

“Marfrig reiterates that the acquisition of the aforementioned stake aims to diversify investments in a segment that complements its business sector,” the company said in the notice to the Securities and Exchange Commission of Brazil (CVM).

Marfrig was increasing its stake in BRF through an auction on B3 (B3SA3). Last month, the company bought about 24.23% of BRF’s capital.

On Thursday, June 3, Marfrig announced it now holds 257,267,671 BRF shares and that this stake is made up of shares bought directly on the market, by auction on the stock exchange and through options.

It also stated that it does not intend to elect members to the board of directors or exercise influence over BRF’s activities, and that it has not entered into any contracts or agreements that regulate the exercise of voting rights.