USA, Springdale. As part of its global growth strategy, Tyson Foods invests a 40% stake in the foods division of Grupo Vibra, a Brazilian producer and exporter of poultry products. Once completed, the deal will give the company more flexibility in serving customers in key global markets. Terms of the agreement were not disclosed, and the transaction is still subject to approval by Brazilian regulators.
“This investment will enable us to access poultry supplies in Brazil to meet the growing needs of Brazilian customers and of priority demand markets in Asia, Europe and the Middle East,” said Donnie King, group president, international & chief administration officer for Tyson Foods. “It’s part of our strategy to develop a more flexible supply chain and mitigate the volatility of our previous model, which relied primarily on US exports.”
Since last year, Tyson has expanded its global presence through the acquisition of Keystone Foods, which includes operations in China, South Korea, Malaysia, Thailand and Australia, and BRF’s poultry businesses in Thailand and Europe. Grupo Vibra currently serves customers in Brazil as well as more than 50 countries around the world.
Over the next five years, it is estimated that nearly 98% of protein consumption growth will happen outside the US. Tyson Foods currently generates $7 bn. in international sales annually. This includes $5 bn. in US export sales and about $2 bn. in in-country revenues.
Grupo Vibra is one of the leading Brazilian Poultry producers, with more than 50 years of experience in the business. The company operates in the production and commercialization of chicken protein with the brands Nat and Avia. Its facilities include hatcheries, laboratories, farms, feed factories and slaughterhouses, serving the Brazilian market and more than 50 countries around the world. It is headquartered in Montenegro, South of Brazil, having operations in Paraná and Minas Gerais states, as well as a business unit in Dubai. With 18 production units, more than 4,000 employees, Vibra has a network of about 700 integrated producer families. In 2018 the company inaugurated the Vibra Innovation Center (CIV) in Montenegro, considered the first product research and development center of its segment in the South region of Brazil.