ADM to acquire GrainCorp

ARCHER Daniels Midland has completed due diligence on GrainCorp Limited and intends to make a cash offer to acquire the outstanding common shares of the company for A$12.20 per share under the terms of the takeover bid implementation deed signed late in April.

The offer values GrainCorp, a leader in Australia’s agribusiness sector, at A$3.4 billion. The offer is subject to conditions, which include ADM receiving a minimum acceptance of 50.1% of GrainCorp shares. ADM presently owns 19.8% of GrainCorp’s shares.

ADM said the company will create enhanced global partner for growers and customers. “Together, ADM and GrainCorp will give customers around the world access to a more diversified origination portfolio while providing Australian growers with greater access to world markets, enhanced logistics, and leading market insight,” said ADM chairman and CEO Patricia Woertz.