Concepcion S.A. Diversifies its Business into Brazil with Acquisition of BMG Foods
On December 22, 2021, Concepcion S.A. acquired 100% of the shares of the Brazilian company BMG Foods Importação Exportação Ltda., a company that produces, processes and distributes pork and beef, located in the city of Nova Iguaçu in the state of Rio de Janeiro. Concepcion S.A. expects this acquisition to add $100 million in annual gross revenues in 2022 as it expands its existing processing capacity outside of Paraguay and Bolivia and extends its product line to more international markets.
In addition to the acquisition of the BMG 3 industrial plants, in early 2022 Concepcion also acquired a pork packing plant, a pork producing farm and a beef packing plant. These newly acquired businesses will be integrated with BMG and operate as a single business unit.
Pork Meatpacking Plants
Grão Pará, State of Santa Catarina (formerly Frigorifico Catarinense Ltda.). BMG acquired the plant in January 2022 and leases the operation to its former owners. It has licenses to export to Japan, South Korea and Hong Kong, and currently operates at full capacity, slaughtering 550 heads a day.
Iporã, State of Paraná. The plant is owned by BMG with construction nearing completion. While the infrastructure is ready they are awaiting local Brazilian permits in order to start production. Operations are expected to begin during February 2022, with a slaughter capacity for 1,200 heads a day.
Beef Meatpacking Plants
Vila Velha, State of Espírito Santo. Beef processing plant under construction with expected completion scheduled for April 2022 and a slaughtering capacity of 500 heads per day. BMG is the majority partner with 90% ownership while 10% remains with local partners.
BMG is currently exploring the addition of a second beef packing plant.