Bunge and Viterra announces strategic merger to create premier diversified global agribusiness solutions company
Torys is acting as Canadian counsel to Viterra and its shareholders with a team led by Omar Wakil and that includes Rebecca Wagner, Eric Patenaude and Ian Li.
On June 13, 2023, Bunge Limited (“Bunge”) announced it entered into a definitive agreement with Viterra Limited, a private company limited by shares incorporated under the laws of Jersey (“Viterra”), together with Glencore PLC (“Glencore”), Canada Pension Plan Investment Board (“CPP Investments”) and British Columbia Investment Management Corporation (“BCI”), to merge with Viterra in a stock and cash transaction.
Under the terms of the agreement, unanimously approved by the Boards of Directors of Bunge and Viterra, Viterra shareholders will receive approximately 65.6 million shares of Bunge stock, with an aggregate value of approximately US$6.2 billion, and approximately US$2 billion in cash, representing a consideration mix of approximately 75% Bunge stock and 25% cash. As part of the transaction, Bunge will assume US$9.8 billion of Viterra debt, which is associated with approximately US$9.0 billion of highly-liquid readily marketable inventories.
The merger of Bunge and Viterra will create an innovative global agribusiness company well positioned to meet the demands of increasingly complex markets and better serve farmers and end-customers. Together, Bunge and Viterra will have greater capacity to invest in global initiatives that enhance and connect value chains with increased optionality to provide solutions to farmers and end-customers.
The merger is expected to close in mid-2024, subject to satisfaction of customary closing conditions, including receipt of regulatory approvals and approval by Bunge shareholders.
Further information can be found on Business Wire’s website.
Viterra is a world-leading agriculture network that connects producers to consumers with sustainable, traceable and quality-controlled agricultural products.
Bunge is a leading company in oilseed processing and a leading producer and supplier of specialty plant-based oils and fats.
Glencore is one of the world’s largest globally diversified natural resource companies.
CPP Investments is a professional investment management organization that manages the Fund in the best interest of the 21 million contributors and beneficiaries of the Canada Pension Plan.
BCI is the provider of investment management services for British Columbia’s public sector and one of the largest asset managers in Canada.