The Texas-based business announced it has entered into a definitive agreement to purchase Brazilian FASA Group.
Darling Ingredients, focused on creating sustainable food and fuel solutions from organic by-products, believes that Brazil represents a “premier” location for rendering growth and that it is expected to take on a bigger role in the world's meat production in the near future.
Darling Ingredients Chairman and CEO Randall Stuewe said that FASA Group will 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 acquisition price amounts to approximately R$2.8 billion ($560 million / €537 million) and the transaction is expected to close by the end of 2022.
It is subject to post-closing adjustments and a contingent payment based on future earnings growth.
FASA Group is among the largest in the rendering industry in South America. The company was created in 2010 by the merger of Faros do Brasil Group, one of the largest companies in the animal recycling segment in Brazil, and SAPI Group, which has been providing rendering services to the agri-food industry in Italy for over 50 years.
Darling Ingredients operates 250 plants in 17 countries and repurposes nearly 10% of the world's meat industry waste streams into value-added products. They are the only publicly-traded company in its segment with 10,000 employees.
