A big merger is brewing in the global commodity trading business. Family-owned Louis Dreyfus, the most prominent French trading house, is in talks with Singapore's Olam International aimed at creating the world's third- largest trader in farm commodities after North America's Cargill and Archer Daniels Midland.
Olam, confirming the merger talks, said they were "preliminary" and may not result in a deal. Both companies have planning to diversify from pure commodities trading into processing, manufacturing and distribution. The new company formed by a merger would have a market valuation of about $15 billion U.S. and would rank as the world leader in trading cotton, rice and coffee and be a strong factor in the cocoa, wheat, corn and oilseeds markets.
Jacques Veyrat, chairman of the Dreyfus group, has often been at odds with Margarita Louis-Dreyfus, widow of Robert Louis-Dreyfus. Together with her three children, she holds majority ownership of the group via a 99-year trust, the London Financial Times Friday. Dreyfus had considered going public to raise capital for expansion. Temasek Holdings, the Singapore sovereign wealth fund, owns 14 per cent of the 21-year-old Olam.
Read more: http://www.montrealgazette.com/business/Commodity+merger+works+with+Louis+Dreyfus+Olam/3574980/story.html#ixzz10Tnh4y4X
Olam, confirming the merger talks, said they were "preliminary" and may not result in a deal. Both companies have planning to diversify from pure commodities trading into processing, manufacturing and distribution.
Jacques Veyrat, chairman of the Dreyfus group, has often been at odds with Margarita Louis-Dreyfus, widow of Robert Louis-Dreyfus. Together with her three children, she holds majority ownership of the group via a 99-year trust, the London Financial Times Friday. Dreyfus had considered going public to raise capital for expansion.
© Copyright (c) The Montreal Gazette
Read more: http://www.montrealgazette.com/business/Commodity+merger+works+with+Louis+Dreyfus+Olam/3574980/story.html#ixzz10Tnh4y4X
BACK to margotbworldnews.com
No comments:
Post a Comment