JBS and VIVA Holding form leather joint venture

JBS and VIVA Holding have signed an agreement to combine their leather production, processing, and commercialization businesses through the creation of a new joint venture named JBS VIVA. The new company will be owned equally by both partners, with each holding a 50% stake.

The governance of JBS VIVA will be shared. The board of directors may consist of up to six members, with three appointed by each company. JBS will be responsible for appointing the chairman of the board (without a casting vote) and the chief financial officer, while VIVA Holding will appoint the CEO and the chief operating officer.

The partnership will integrate JBS's leather production assets in Brazil and abroad with VIVA's leather production and chemical input manufacturing businesses. However, certain assets will remain excluded from the deal, including collagen and gelatin activities, as well as JBS's leather assets located in Texas (USA), Germany, Uruguay, and Mexico.