Brazil Based JBS Seeks Asset Sale, Linde Board Reviews Praxair Offer

Sarla Buch
26 May, 2017
New York City

Brazil based meat processor JBS may be forced to sell some assets as the company faces severe penalties from the widening corruption scandal. Spirax-Sarco agreed to buy Chromalox for

[R]4:00 PM Frankfurt – Brazil based meat processor JBS may be forced to sell some assets as the company faces severe penalties from the widening corruption scandal. Spirax-Sarco agreed to buy Chromalox for £319 million. Linde board to decide on Praxair Inc merger offer today.[/R]

In London trading, FTSE 100 index advanced 30.43 or 0.4% to 7,548.60 and in Frankfurt the DAX index fell 41.35 or 0.3% to 12,581.77.

In Paris, CAC 40 index slipped 11.77 or 0.2% to 5,325.39.

For the week, FTSE 100 index advanced 1.1%, the DAX index fell 0.4% and the CAC 40 index edged up 0.1%.

JBS SA, formerly Friboi Ltda declined 4.4% to €7.85 and local reports in Sao Paolo said Brazil-based meat processor’s strategy for weathering the fallout from a corruption scandal centered on its owners.

Two of controlling investors admitted that they had bribed hundreds of Brazilian politicians for its businesses interests that had trapped the President Michel Temer for resignation.

Linde AG edged up 0.03% to €172.15 after Germany-based industrial gases provider''s supervisory board is scheduled to meet today to vote on a merger agreement with the U.S.-based rival Praxair Inc.

Restaurant Group Plc soared 9% to 346 pence after the U.K.-based restaurants and pub restaurants operator said revenues in the five-month period ending on May decreased 1.5% and comparable sales declined 1.8% from a year ago to £890 million.

However, the pub restaurants operator forecasted full-year pretax profit in-line with market expectations.

Spirax-Sarco Engineering Plc jumped 9.3% to 495 pence after the U.K.-based steam management systems and peristaltic pumps maker agreed to acquire the U.S.-based thermal technology provider Chromalox, Inc for £319 million or $415 million from private equity firm Irving Place Capital on a cash and debt free basis.

Safran SA rose 0.8% to €79.09 after Reuter reported that the U.K. hedge fund TCI said the aero engine maker Safran''s reduced offer for Zodiac Aerospace was still too high and TCI would vote against the deal.

Volvere Plc surged 12% to 753.11 pence after the U.K.-based investment group said revenues in the year ending in March soared 18.3% from a year ago to £33 million.

Net profit in the period plunged 74.6% from a year ago to £1.7 million from £6.7 million and diluted earnings per share slumped to 32.6 pence from 158.8 pence.