JBS SA has withdrawn plans on what would have been a $500 million public offering to purchase stocks for the company’s processed food subsidiary JBS Foods International BV. The move comes after several months of turmoil for the world’s largest meat packer stemming from political corruption and food safety scandals.
According to Reuters, JBS Foods International requested a withdrawal of their IPO with the U.S. Securities and Exchange Commission.
JBS Foods International and its parent company had announced on Dec. 5, 2016, plans to list the company publicly. Those plans appeared to derail when JBS owners Wesley Batista, former JBS CEO, and his brother Joesley admitted to bribing politicians during a plea deal in May.
JBS reaffirmed in August the company’s commitment to seeking an IPO by the end of the year.
Ultimately when both the Batista brothers were arrested for insider trading and JBS made leadership changes the multinational meat processor was forced to cease the stock market offering.