Darling Ingredients, a company turning food waste into sustainable products and producer of renewable energy, announced it has entered into a definitive agreement to purchase Brazil's largest independent rendering company, FASA Group for approximately R$2.8 billion Brazilian Real in cash ($560 million USD at today's exchange rate), subject to post-closing adjustments and a contingent payment based on future earnings growth. FASA Group processes more than 1.3 million metric tons annually through 14 rendering plants with an additional two plants under construction, and has approximately 2,400 employees.
"Brazil is a leader in global agricultural commodities growth and is expected to take on a bigger role in world's meat production, making it a premier location for rendering growth," said Randall C. Stuewe, chairman and chief executive officer, Darling Ingredients. "FASA will also supplement Darling Ingredient's global supply of waste fats, making it a leader in the supply of low carbon waste fats and oils in North and South America to be used in the production of renewable diesel."
The transaction is subject to customary closing conditions, and is expected to close by the end of 2022.
Source: Darling Ingredients