Hebei Lansheng Biotech Co., Ltd. ShangHai Yuelian Biotech Co., Ltd.

Gavillon to be acquired by Viterra for $1,125 billionqrcode

Jan. 31, 2022

Favorites Print
Jan. 31, 2022

 Japanese trading house Marubeni Corp will sell the grains business of its U.S. unit Gavilon to commodities trader Glencore PLC's (GLEN.L) Viterra arm for $1.125 billion, plus working capital, Viterra said recently.

Marubeni said it expected to gain a total of 300 billion to 400 billion yen ($2.6 billion to $3.5 billion), including loans to grains merchant Gavilon, through the deal, due to be completed after the restructuring of U.S. operations.

Marubeni will keep Gavilon's fertilizer business and some facilities for grain export.

The deal, subject to closing conditions and regulatory approvals, is expected to close by March 31, 2023.

In November, Reuters reported that Glencore and its Canadian pension fund partners were looking at options to expand Viterra in the Americas and Australia.

Besides its main U.S assets, Gavilon also has operations in Mexico, South America, Europe and Asia.

For Marubeni, the sale will mark the end of a painful journey as it booked a series of impairment losses, totaling 120 billion yen, since buying Gavilon for $2.7 billion in 2013, due to weaker grain prices and market volatility.

To read the entire article click here.

Source: Reuters


More from AgroNewsChange

Hot Topic Change

I wanna post a press Comment


Subscribe Email: *
Mobile Number:  



Subscribe to daily email alerts of AgroNews.