Funds maneuver to take control of BRF

An agreement between investment and pension funds and Abilio Diniz may change the course of BRF, Brazil's largest food company, created after the merger between Perdigão and Sadia, in May 2009.

The Brazilian fund Tarpon, which holds 8% of the voting shares in BRF, and pension funds - including Previ (Banco do Brasil employees) and Petros (Petrobras) - plan to take control of the company.

Today, funds have five of the ten seats on the board of directors, with nearly a 33.4% share. This group was looking for an investor to acquire up to 5% of the voting stock. The idea is to have most of the voting shares and a majority on the board. Furthermore, they want to name the chairman.

Information provided by Folha de S.Paulo