Shares of Brazilian meat processing giant JBS dropped nearly 3% during morning trading on Friday as the company made its long-anticipated debut on the New York Stock Exchange.
JBS, founded 72 years ago, is now one of the world’s largest meat producers. The U.S. market plays a major role in its operations, contributing around half of its annual revenue. The company employs over 72,000 people in the U.S. and holds the top position in beef production, while ranking second in both poultry and pork.
Last month, minority shareholders approved JBS’s plan to list its shares on both the São Paulo and New York stock exchanges. The decision went ahead despite strong opposition from environmental groups, American lawmakers, and others who cited concerns about the company’s past involvement in corruption, anti-competitive practices, and environmental harm.
JBS stated that listing in both markets would expand its access to global investors and improve financing terms through more competitive interest rates. The company also emphasized that listing in the U.S. would bring increased regulatory oversight. The U.S. Securities and Exchange Commission approved the dual-listing plan last month.
Despite the regulatory green light, the listing has been controversial. Environmental organization Mighty Earth recently sent a letter to the NYSE board, urging it to block the listing. The group accuses JBS of benefiting from illegal deforestation in Brazil.
Investor advisory firm Glass Lewis also advised shareholders to vote against the plan. Their concerns included the reinstatement of Joesley and Wesley Batista—sons of JBS’s founder—to the company’s board. Both brothers were jailed in Brazil in 2017 for their roles in a major bribery and corruption scandal.
Glass Lewis also criticized JBS’s plan to adopt a dual share structure, which grants the Batistas and other controlling stakeholders disproportionate voting power.
In response, JBS said the shareholder approval demonstrated confidence in the company’s vision and the strategic advantages that dual listing could offer.
