JBS Said to Lease Plants to Expand in Brazil’s Top Cattle State

JBS SA (JBSS3), the world’s largest beef producer, is said to have leased four slaughterhouses in Brazil as it seeks to expand in the top cattle state of Mato Grosso, according to three people with direct knowledge of the deal.

JBS is hiring three plants in the Central Brazilian state and one in the northern state of Rondonia, said the people, who can’t be identified because terms aren’t public. The plants were leased from Guapore Carne and can slaughter 3,050 animals a day.

The company led by Chief Executive Officer Wesley Batista currently has the capacity to slaughter 87,290 cattle daily in 62 plants in six countries, according to information on its website. Most of the plants are in the state of Mato Grosso.

The state holds 13 percent of Brazil’s cattle herd of 205.3 million animals, the world’s largest commercial herd, according to the latest report by the country’s statistics agency, IBGE.

A spokesman for JBS, who can’t be named because of internal policy, declined to comment on the plant leasing. Carlos Silva, as administrative manager at Guapore, didn’t immediately return an e-mail from Bloomberg News seeking comment.

To contact the reporter on this story: Lucia Kassai in Sao Paulo at lkassai@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net

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