The Brazilian meatpacking giant JBS experienced a 3% decline in its stock prices during the first trading session after listing on the New York Stock Exchange as part of its worldwide expansion plan.
JBS operates as the leading beef supplier in the United States while maintaining the position of second-largest producer of poultry and pork products in the country. JBS plans to expand its investor base and reduce capital expenses through its dual listing on the New York Stock Exchange and São Paulo Stock Exchange.
The U.S. Securities and Exchange Commission authorized the listing in the previous month yet environmental groups and lawmakers oppose the move because of JBS’s past deforestation activities and market control and corruption accusations.
The NYSE should prevent JBS from listing according to advocacy group Mighty Earth because the company earns profits from Brazilian land clearance that occurred illegally. JBS declared that the U.S. listing will enhance transparency and regulatory oversight while it pursues future growth despite facing opposition.
