Disclaimer :

The Competition DG makes the information provided by the notifying parties in section 1.2 of Form CO available to the public in order to increase transparency. This information has been prepared by the notifying parties under their sole responsibility, and its content in no way prejudges the view the Commission may take of the planned operation. Nor can the Commission be held responsible for any incorrect or misleading information contained therein.

COMP/M.5705-MARFRIG ALIMENTOS / CARGILL ALIMENTOS / SEARA

SECTION 1.2

Description of the concentration

This notification concerns the proposed acquisition of sole control by Marfrig Alimentos S.A. ("Marfrig") of the Cargill Meats Brazil unit, including the shares of Cargill Alimentos S.A. and associated companies ("Seara"). Cargill Alimentos S.A. has subsequently been converted into a limited company and renamed Seara Alimentos Ltda (Brazil).

Marfrig produces a diversified range of food products, mainly in South America, focusing on food derived from animal protein. Marfrig's principal activity is the rearing of live cattle for slaughter and the production of primary beef and processed beef products, which it supplies to domestic customers and for export. To a lesser extent, Marfrig also rears live chickens, pigs and sheep for slaughter and produces primary and processed chicken, pork and lamb, which it supplies to domestic customers and for export. In 2008, Marfrig acquired certain companies from OSI, including companies in Europe which together formed the Moy Park Group, a mainly UK-based business whose activities include the rearing, production and supply of poultry products. This acquisition was cleared by the Commission in Case COMP/M.5322.

Seara is part of the Cargill group. Seara is a Brazilian business active in the rearing of live chickens and pigs for slaughter and the production of primary and processed chicken and pork products in Brazil. It exports chicken products to Europe. Seara also supplies pork products and processed beef products, but these are not exported to Europe.

The parties' activities overlap in Europe only to a limited extent and, as such, Marfrig considers that this concentration will not have any significant impact on competition. Accordingly, there is no prospect that this transaction will give rise to a significant impediment to effective competition.

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