Brazil's BRF says QIA put option on TBQ JV has been eliminated (updated)

Banvit Bandirma Vitaminli Yem Sanayi AS

13/12/2021 23:17

(Provides background about Banvit deal)
    RIO DE JANEIRO, Dec 13 (Reuters) - Brazilian food processor
BRF SA  BRFS3.SA  has reached an agreement with the Qatar
Investment Authority (QIA) that eliminates a put option the
sovereign fund held regarding its stake in TBQ Foods, a BRF-QIA
joint venture, the Brazilian firm said in a Monday securities
filing.
    According to the statement, both companies signed an
amendment with new terms and conditions for their partnership,
in which BRF holds a 60% stake and QIA the other 40%.
    In November, BRF's chief financial officer said BRF wanted
to persuade QIA to remain a partner in TBQ, adding that BRF
would need to pay QIA about 468 million reais ($82.4 million) if
the latter exited TBQ by exercising the put option.  urn:newsml:reuters.com:*:nL1N2SL1RI
    The statement also said that from 2023 QIA will have new
alternatives to liquidate its investments at Banvit, Turkey's
leading poultry processor, which sells halal foods that are made
according to Muslim dietary requirements. TBQ holds 91.7% of
Banvit's shares.
    BRF became a partner of QIA and a shareholder of Banvit in
2017, aiming to boost its halal food business and own production
facilities outside Brazil.
    ($1 = 5.68 reais)

 (Reporting by Gram Slattery and Carolina Pulice; editing by
Richard Pullin)
 ((gram.slattery@thomsonreuters.com; +55-11-95057-1453))