Brazil’s JBS welcomed Wesley and Joesley Batista back onto its board, expanding it to include 11 members, of which seven are recognized as independent.
JBS is a global powerhouse in the food industry. Its significance is rooted in feeding millions worldwide and shaping global food supply chains.
The Batistas own J&F Investimentos, controlling JBS. They started young, pushing JBS globally. In 2017, they exited amid a plea deal, admitting to corruption.
This almost toppled President Michel Temer over hush money claims. Yet, Temer got cleared.
Their comeback began in February when they joined Pilgrim’s Pride’s board. In October 2023, Brazil’s CVM cleared them of insider trading.
Wesley, once JBS’s CEO, expanded the company internationally. Joesley, starting at Flora Personal Care, later led JBS’s finance division. Their actions significantly shaped JBS’s trajectory.
In 2023, JBS suffered a loss of R$1.061 billion ($212.2 million), compared to the prior year’s profit of R$15.5 billion ($3.1 billion).
Revenue dipped to R$363.8 billion ($72.76 billion), down 2.9% from 2022. EBITDA fell by 50.4% to R$17.1 billion ($3.42 billion), marking a significant downturn.
The Batistas’ return is pivotal for JBS, indicating a new phase in its management and potentially signaling a strategy for overcoming recent challenges.
Their history with the company underscores the complexity of their influence and the significance of their leadership roles.
Why does it matter?
JBS, the global leader in animal protein production, is striving for a New York Stock Exchange listing, a move hampered by past scandals and economic challenges.
The company now confronts global criticism over its environmental and ethical practices, compounded by a greenwashing lawsuit in New York.
Since its 2007 IPO on São Paulo’s B3, JBS has aimed for a dual listing to tap into the US’s cheaper capital.
The firm asserts that listing in the US would enhance governance oversight in line with SEC and NYSE regulations.
The São Paulo-based company is countering allegations of environmental harm and demonstrating its commitment to ethical supply chain management.