Canada approves sale of Viterra assets

Canada approves sale of Viterra assets

REGULATORY authorities have cleared Richardson International to purchase former Viterra grain handling assets from Glencore International.

Announced as part of Glencore's acquisition of Viterra, Richardson will pay $800 million for 19 grain elevators and two processing businesses (Feedstuffs, March 26).

With approval from Canada's Competition Bureau, Richardson said it now expects to close the deal in early 2013. In addition to the elevators, the deal includes the purchase of the Can-Oat Milling business and 21st Century Grain Processing, as well as a 25% stake in the Cascadia Terminal in Vancouver, B.C., and the Viterra terminal in Thunder Bay, Ont.

Glencore announced earlier this month that it had successfully closed its $6.1 billion acquisition of Viterra (Feedstuffs, Dec. 24).

Under terms of the acquisition, Glencore agreed to sell part of Viterra's grain handling operations to Richardson and to sell a majority of Viterra's retail operations to Agrium for $575 million. CF Industries also inked a deal to buy Viterra's minority interest in a nitrogen fertilizer plant in Medicine Hat, Alb., for $915 million.

 

Volume:84 Issue:54

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