Brazilian food company JBS (NYSE: JBS) has entered into an agreement with PT Danantara Investment Management (DIM), the investment arm of Indonesia’s sovereign wealth fund, to establish a joint venture focused on opportunities in the protein industry across Southeast Asia and Oceania.

The partnership will include JBS’s existing operations in Australia and New Zealand and will target greenfield and brownfield investments, as well as acquisitions, across Indonesia, other Southeast Asian markets, Australia and New Zealand.

Together, these markets represent a population of approximately 745 million people, equivalent to around 9.2% of the global population, creating a significant consumer market for the protein industry.

$5 Billion Capital Raise

Under the agreement, Danantara will invest $2.5 billion in the new joint venture, while the company expects to raise an additional $2.5 billion through external debt financing.

The partnership could reach an aggregate capital raise of up to $5 billion.

Danantara will initially invest $800 million, with the remaining $1.7 billion expected to be invested over the following three years.

The Indonesian fund is expected to hold a 25% stake in the joint venture after completing its full $2.5 billion investment. During the investment period, its initial ownership will be approximately 9.4%, based on the initial $800 million contribution.

Following the three-year investment period, the parties’ governance rights will be determined according to their respective shareholdings.

The Importance of JBS’s Oceania Operations

One of the most significant aspects of the agreement is the inclusion of JBS’s existing operations in Australia and New Zealand.

JBS has a major presence in the region, employing more than 17,000 people across its operations. The company has activities spanning beef, pork, seafood and processed foods.

Australia and New Zealand currently account for approximately 10% of JBS’s global revenue, generating around $9 billion in annual revenue and approximately $800 million in EBITDA.

Historically, JBS’s operations in the region have been heavily focused on exports to major Asian markets, including China, Vietnam and Indonesia.

The new partnership could shift part of this strategy toward expanding JBS’s presence in local markets across Southeast Asia, including through additional processing capacity and possibly retail brands, as JBS has done with Swift in Brazil.

JBS Targets Further Expansion in Southeast Asia

The agreement also signals JBS’s intention to expand across Southeast Asia, a region with a large and growing consumer base but significant opportunities for additional local protein production.

JBS has already begun establishing a presence in the region. The company announced a $100 million investment in a new production facility in Vietnam in 2025.

With the new joint venture, the company is expected to evaluate additional investments across Southeast Asia, with Indonesia likely to be a key market.

Indonesia is the world’s fourth-most-populous country and represents one of the largest consumer markets in the region. For JBS, the partnership with Danantara provides access not only to Indonesian capital but also to a strategic platform for expanding protein production and distribution across Southeast Asia.