Clayton Utz acted for Minerva Foods and SALIC Australia on their acquisition of abattoir facilities in Shark Lake (near Esperance) and Tammin in Western Australia.
The facilities will be acquired by a joint venture in which Minerva Foods will hold a 65% interest and SALIC Australia will hold a 35% interest.
Both are smaller facilities by Australian processing standards, but carrying room for expansion. Shark Lake near Esperance has capacity for both sheep and beef processing, while the Great Eastern Abattoir is a sheep-only facility near Tammin.
The joint venture is looking to invest approximately US$35 million (about A$48m) in the facilities, which are expected to reach a slaughter capacity of 1 million head per year.
The acquisitions, which are subject to regulatory approval, mark Minerva Foods’ entrance into the Australian market and follow on from SALIC Australia’s acquisition of over 200,000 ha of broadacre cropping and livestock farmland during 2019 (on which Clayton Utz advised SALIC).
Minerva Foods is a South American red meat giant.
Saudi Agricultural & Livestock Investment Co (SALIC), established by Royal Decree, is a Saudi company owned by the Public Investment Fund of the Kingdom of Saudi Arabia specialized in agricultural investment and livestock production.
The Clayton Utz team was led by Corporate partner Mark Paganin (Picture) and special counsel Scott Girdler are leading the firm’s team, with involvement from the head of the firm’s agribusiness team, Andrew Hay.
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