Cade, Brazil’s competition regulator, has called an extraordinary session this Friday, Sept. 5, only to ratify what is already known: approval of Marfrig’s incorporation of BRF.
The deal turns BRF into a wholly owned subsidiary of Marfrig, but the change is only formal. Even before crossing the 50% threshold, Marfrig was already treated by Cade as BRF’s sole controller in 2021 and 2023 rulings. In 2024, during the Minerva/Marfrig case, the Tribunal reaffirmed that BRF was part of Marfrig’s economic group.
Despite this history, the current process faced appeals and delays. By Aug. 20, a majority was already secured, yet the vote was suspended. Only on Sept. 3 did the last board member return the case with a favorable vote — prompting Marfrig’s lawyers to press for urgency to avoid harming shareholders’ withdrawal rights, which expire the same day as the extraordinary session.
Cade has revisited a control it had already recognized four years earlier. That repetition cost time, blocked the capture of synergies worth billions and created market uncertainty. The justification of procedural caution rings hollow when the deal does not change the decision-making center.
For the market, the operation means simplification and scale gains. For Cade, the lesson is clear: spending time on an intragroup restructuring adds no regulatory value. MBRF will be born a giant. The Tribunal risks looking small.
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