Japan's Marubeni close to acquiring US grain, energy trader Gavilon for over $5 bn
29 May 2012
Japanese trading house Marubeni Corp is close to finalising a deal to buy US grain and energy trader Gavilon, for more than $5 billion including debt and may announce the deal as early as today, Reuters reported, citing people familiar with the matter.
The deal includes assumption of debt of around $1.7 billion.
In January Gavilon had hired Morgan Stanley as advisor to the sale and potential bidders included Marubeni's domestic rival trading houses Mitsubishi Corp and Mitsui & Co, Swiss commodities giant Glencore International Plc, US agri giant Bunge Ltd and Singapore's Wilmar International Ltd
Omaha, Nebraska-based Gavilon, formerly known as ConAgra Trade Group, has one of the world's largest fertilizer distribution networks, as well as the third-biggest US grain-merchandising operation.
It is majority owned by billionaire investor George Soros' Soros Fund Management, and hedge fund manager Dwight Anderson's Ospraie Management.
Gavilon deals in grains, oilseeds, oils and fats, dairy products, feed ingredients; renewable fuels, petroleum products, natural gas, natural gas liquids, and fertilisers.
