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DESC, SOCIEDAD DE FOMENTO INDUSTRIAL, S.A. DE C.V. AND CONAGRA, INC. FORM AGRIBUSINESS JOINT VENTURE

 MEXICO, D.F., Jan. 11 /PRNewswire/ -- DESC, Sociedad de Fomento Industrial, S.A. de C.V. announced today that it has signed an agreement in principle with ConAgra, Inc. (NYSE: CAG) that provides for ConAgra to purchase a 20 percent equity interest in UNIVASA, the pork and poultry wholly-owned subsidiary of AGROBIOS, DESC's agribusiness sector. Further, under terms of the agreement, ConAgra has an option to purchase up to 49.9 percent of UNIVASA over the next four years. Financial terms were not disclosed. The transaction is subject to the completion of a definitive agreement and review by the Mexican government.
 In commenting on the pact, Fernando Senderos Mestre, DESC's Chairman and CEO, said, "We are delighted to enter into this joint venture with ConAgra, a world leader in food processing and preparation. UNIVASA's pork and poultry operations will no doubt benefit from ConAgra's considerable marketing expertise, technological acumen, and commitment to both management systems and quality control. We are committed to expanding our presence in value-added food product markets. The synergies inherent to a DESC and ConAgra combination will provide UNIVASA with unique advantages that can only serve to broaden both the scope and size of our agribusiness operations.
 "Coming on the heels of the recently implemented NAFTA accord, this union is a significant step in achieving our goal of discovering new venues to market our food products. We plan to develop new processed pork and poultry products as well as introduce a wide variety of other food lines to the domestic marketplace. Additionally, DESC and ConAgra will continue to explore joint participation opportunities in Mexico's rapidly growing food sector."
 DESC, Sociedad de Fomento Industrial, S.A. de C.V. is a diversified holding company which, through its subsidiaries and equity investment, is Mexico's seventh largest company with interests in automotive parts, chemicals, agribusiness, real estate, consumer products and financial services. DESC had net sales of approximately NPs. 5.2 billion in 1992. Its shares are listed on the Bolsa Mexicana de Valores (Mexican Stock Exchange) under the symbol "DESC." DESC's Series "A" and Series "B" shares are registered in the Master Investment Neutral Fund managed by the state development bank, Nacional Financiera S.N.C. This registration classifies these shares are Ordinary Participating Certificates (CPOs), and allows foreigners to buy, on a non-voting basis, Series "A" and "B" shares. DESC's Series "C" shares are available in the U.S. in the form of American Depository Receipts (ADRs).
 -0- 1/11/94
 /CONTACT: (In Mexico) Arturo D'Acosta R. of DESC, Sociedad de Fomento Industrial, S.A. de C.V., 525-251-6918 or 525-251-4082, or fax, 525-251-8535; or (outside Mexico) Diana Brainerd or Cameron Thompson of Abernathy/MacGregor/Scanlon, 212-371-5999, or fax, 212-593-1845/
 (CAG)


CO: DESC, Sociedad de Fomento Industrial, S.A. de C.V.; ConAgra, Inc. ST: Missouri IN: FOD SU: JVN

JG-SP -- NY066 -- 1077 01/11/94 15:01 EST
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Publication:PR Newswire
Date:Jan 11, 1994
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