Darling Ingredients Inc., Irving, Texas, said on Aug. 1 that it has completed the acquisition of Brazil’s largest independent rendering company, FASA Group. The purchase price is approximately R$2.8 billion (Brazilian Real) in cash (US$542.6 million), plus or minus various closing adjustments and a contingent payment based on future earnings growth.
As part of the transaction, Darling has acquired 14 plants that process more than 1.3 million mt/y, with an additional two plants under construction.
“Brazil will play a big role in feeding a growing world population, which makes it a premier location to grow our specialty ingredients business,” said Randall C. Stuewe, Chairman and CEO, Darling Ingredients. “FASA is a well-run business, will be immediately accretive, and further de-risks the supply chain by providing an additional source of non-food based, low-carbon waste fats to be used in the production of renewable diesel and sustainable aviation fuel.”
Darling operates 250 plants in 17 countries and repurposes nearly 15% of the world’s meat industry waste streams into value-added products such as fertilizer, green energy, renewable diesel, collagen, animal proteins, meals, and pet food ingredients.