UAE - Mubasher: ADQ has inked an agreement to acquire an indirect 45% equity stake in Louis Dreyfus Company B.V. (LDC), a global merchant and processor of agricultural goods.
LDC has also penned a long-term commercial supply agreement with ADQ to sell agri-commodities to the UAE, according to a press release on Wednesday.
Following the completion of the transaction, a part of its proceeds valued at a minimum of $800 million will be invested into LDC to support the company’s long-term business plan.
Completion of the agreement is subject to customary closing conditions, including regulatory approvals.
The transaction will strengthen ADQ's portfolio, including Silal, Agthia, and Al Foah.
The CEO of ADQ, Mohamed Hassan Alsuwaidi, said: "With a diversified agri-commodity portfolio, significant scale and broad geographic footprint, LDC will further accelerate the progress we have already made this year in significantly expanding ADQ’s food and agriculture portfolio."
The Chairperson of the Supervisory Board of LDC, Margarita Louis-Dreyfus, commented: "LDC will continue to leverage its core historic capabilities to efficiently analyze and capture opportunities in a rapidly changing context, while pursuing our vision to shape resilient global food supply chains."
