(Updates with American depositary receipts in last paragraph.)
June 23 (Bloomberg) -- BRF - Brasil Foods SA is prepared to share its distribution network with competitors as well as sell brands and plants to win approval from antitrust regulators for the purchase of Sadia SA, a person familiar with the talks said.
The world’s largest poultry exporter plans to present a new proposal to Brazil’s antitrust agency, known as Cade, next week, said the person, who asked not to be identified because the negotiations are private. The company has no plans to include the divestiture of top-selling brands Sadia and Perdigao in the proposal, he said.
The company was created two years ago after Perdigao SA bought Sadia in a $3.8 billion deal supported by state-company pension funds. Carlos Ragazzo, one of the five commissioners voting on the case, recommended on June 8 that the antitrust agency block the merger, saying the combined company wielded too much market share in processed foods and would hurt consumers.
Brasil Foods’ American depositary receipts fell 48 cents, or 2.9 percent, to $16.17 at 9:56 a.m. in New York Stock Exchange composite trading. In Sao Paulo trading, Brasil Foods rose for a seventh day yesterday, gaining 0.1 percent to 25.93 reais. Markets in Brazil were closed today for a holiday.
--Editors: Jessica Brice, Robin Saponar
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