Brazilian food giant BRF to sell its pet food portfolio
The company wants to raise cash in a challenging financial situation.
The poultry and protein producer is reportedly in talks with a financial institution to divest its pet food division for R$2 billion ($384M/€363M) and is already in discussions with potential buyers.
Despite any official communication from the company, media reports unveil BRF’s struggle with cost inflation and the deterioration of average market prices.
According to Bloomberg, it hopes to boost cash flow and focus its attention on its core business.
In the last quarter of 2022, BRF registered a R$601 million ($116.5M/€110.3M) net loss.
The company stepped up its efforts to become a major player in the pet food industry in 2021 by acquiring the pet food company Hercosul. In the same year, it also took over pet food manufacturer Mogiana Alimentos.
BRF was created in 2013 from a merger between Brazilian pet food corporations Sadia and Perdigão. Today, it is one of the largest global food companies and operates in 117 countries.
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