Brasil Foods has said it expects to receive approval from anti-trust council Cade for last year’s merger between Perdigao and Sadia set up to form the Brazilian food group.
The Brazilian Finance Ministry’s anti-trust secretariat, known as SEAE, has recommended that Cade approve the transaction with certain restrictions, proposing two alternatives that may or may not be implemented by the council, Brasil Foods said yesterday (29 June).
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“BRF emphasises its trust that there are sufficient technical grounds to prove to Cade that the transaction does not constitute an anti-competitive practice, but solely reinforces the competitiveness of Brazil abroad,” the company explained.
“In view of the absence of relevant barriers to entry, the intense competition and the development of substantial synergies and efficiencies, BRF is confident that Cade will approve the transaction,” it added.
Plans to merge Perdigao and Sadia to create Brasil Foods were first announced in May last year.
Under the agreement, current Perdiago shareholders will control 68% of the new entity and Sadia will operate as a 100% owned subsidiary of BRF.
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By GlobalDataIn an interview with just-food in May, Brasil Foods CFO Leopoldo Saboya said the group had begun to bring together parts of Perdigao and Sadia, including cash and liability management as well as sales and marketing.
