Meat+Poultry - September 2022 - 10

BUSINESS NOTES
JBS Q2
profit lower,
revenue rises
Facing plenty of
Producer Owned Beef
lands $12.2M award
Producer Owned Beef LLC, a US beef
processing facility owned by cattle producers
and operated by beef processing industry
veterans, received $12.232 million from the
Texas Enterprise Fund. On Aug. 10, Texas
Governor Greg Abbott's office presented the
award during a launch event in Amarillo.
Producer Owned Beef's new plant
project is a $670 million capital investment,
with its groundbreaking scheduled for the
first quarter of 2023. The company expects
to employ up to 1,600 team members
and to have a 3,000-plus head per day
processing capacity.
In addition to Texas Enterprise
Fund's investment, the Amarillo City
Council has approved Amarillo Economic
Development Corporation (AEDC)
incentives of up to $11.1 million to build
the beef processor's headquarters within
the city.
" The importance of Texas Enterprise
Fund along with Amarillo EDC backing
for this project cannot be overstated, "
said Casey Cameron, chief executive
officer of Producer Owned Beef. " Publicprivate
partnerships are proven to attract
additional investors and create a virtuous
cycle of commerce, employment and tax
revenue for our communities and state. "
Operations are expected to begin in the
fourth quarter of 2025.
challenges domestically
and across the globe,
JBS S.A. reported ending
the second fiscal quarter
of 2022 with " consistent "
results that included
growth in net revenue
and positive margin.
In the fiscal second
quarter, ended June 30,
2022, JBS S.A. posted net
income of 3.95 billion
reals ($772.34 million),
which was nearly 10%
less than the 4.38 billion
reals ($856.42 million)
reported during the same
period last year.
Net revenue for
the quarter increased
by 7.7% to 92.2 billion
reals ($18.02 billion)
compared to 85.62
billion reals ($16.73
billion).
MTY Food Group
acquires Famous Dave's
parent company
Montreal-based MTY Food Group Inc.
is expanding its portfolio of restaurant
brands through a merger with BBQ
Holdings Inc., the parent company of
foodservice chains that include Famous
Dave's and Granite City. Under the terms of
the agreement, MTY will acquire all issued
and outstanding common shares of BBQ
Holdings for $17.25 per share.
The transaction, valued at
approximately $200 million, is expected
to be completed in the fourth quarter and
is subject to customary closing conditions
and regulatory approval. It will see BBQ
10 MEAT+POULTRY | 09.22 | www.meatpoultry.com
Holdings become a subsidiary of MTY and
be de-listed from NASDAQ.
Minnetonka, Minn.-based BBQ Holdings
operates a variety of barbecue restaurants,
including Real Urban BBQ and Clark Crew
BBQ, in addition to Famous Dave's. It has
expanded its network in recent years with
the additions of Village Inn, Bakers Square,
Tahoe Joe's and Barrio Queen.
The company, which operates more
than 200 franchised and 100 corporateowned
restaurants, expects to generate
12-month run-rate system sales between
$685 million and $725 million for the fiscal
year ending in January.
The merger will add nine brands to
MTY's portfolio of 80 restaurant brands.
JBS' North American
Beef segment (which no
longer includes results
from JBS Australia)
reported net revenue of
27.17 billion reals during
the quarter, down about
4.6% from last year's
same quarter of 28.47
billion reals.
Net revenues for
the company's US pork
business unit slipped
during the quarter by
just over 3% to 10.38
billion reals compared to
10.72 billion during the
same period last year.
For more news,
visit MEATPOULTRY.com
Producer Owned Beef
http://www.MEATPOULTRY.com http://www.meatpoultry.com
Meat+Poultry - September 2022

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