Pilgrim's Pride forms special committee for JBS buyout review

By Adriano Marchese Pilgrim's Pride formed a special committee of independent directors to consider an unsolicited bid from majority shareholder JBS. JBS, the world's largest meatpacking company, currently holds an 82% stake in Pilgrim's Pride. In August, the Brazil-based company proposed a fixed exchange ratio of about 2.1 Class A shares for each share of Pilgrim's Pride common stock. The company cited enhanced exposure to a broader and more diversified global business for Pilgrim's Pride shareholders. The offer was based on the Aug. 18 closing prices of $13.66 a share for JBS and $28.49 a share for Pilgrim's Pride. Pilgrim's Pride said its board won't approve any transaction without the favorable recommendation of the special committee, and also cautioned that there couldn't be any assurance of any particular outcome. Pilgrim's Pride employs about 63,000 people, with protein processing and prepared-food facilities across 14 U.S. states, Puerto Rico, Mexico, and Europe. JBS scrapped plans for a previous bid in 2022 after failing to reach an agreement over terms of a deal. Pilgrim's Pride had rejected two offers from JBS. In August, JBS named Wesley Batista Filho, the grandson of the company's founder, as its next chief executive, effective at the start of 2027. The company, which is also the second-largest U.S. pork processor, has massive beef operations in Brazil and Australia, and processes other proteins such as lamb and salmon. It employs about 280,000 people in more than 20 countries. JBS continues to lose money in its North American beef operations and is seeing pressure on chicken profits due to a poultry glut, The Wall Street Journal reported. The company in August brokered a deal with the Indonesian sovereign wealth fund Danantara Investment Management for a $2.5 billion investment in exchange for a 25% interest in a joint venture intended to expand JBS's operations in Australia and New Zealand. Write to Adriano Marchese at adriano.marchese@wsj.com (END) Dow Jones Newswires October 09, 2026 10:15 ET (14:15 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.