Mantiqueira Alimentos seeks R$ 500 million via rural product certificates

Mantiqueira Alimentos, a major Brazilian egg producer and partner of JBS, has launched a public offering of 500,000 financial settlement rural product certificates (CPR-F). The offering aims to raise R$ 500 million, with each certificate priced at R$ 1,000. The funds are intended for agricultural production, commercialization, processing, and the acquisition of machinery and inputs.

The debt instrument features a seven-year term maturing in October 2033, with remuneration set at 94% of the CDI rate. A specific clause in the issuance terms allows JBS to assume full responsibility for the debt, transitioning from partner to the primary issuer while Mantiqueira becomes the guarantor, subject to investor approval.

Following JBS’s acquisition of a 48.5% stake in Mantiqueira for approximately R$ 920 million to R$ 950 million, the company has been expanding its international footprint. This includes a joint venture, Mantiqueira USA, which signed a binding agreement to acquire Hickman’s Egg Ranch, a significant American egg producer, to bolster its presence in the United States market.