Cargill Among Possible Buyers for Canadian Grain Giant
Minnetonka-based Cargill, Inc., is reportedly among the possible suitors for Canadian agribusiness giant Viterra, Inc.
Saskatchewan-based Viterra on Friday announced that it has “received expressions of interest from third parties,” and the announcement sent its stock price up 24 percent that day.
“There can be no assurance that any agreement or transaction will result,” the company wrote in a press release. “A further announcement will be made if appropriate.”
The Wall Street Journal, citing unnamed sources familiar with the matter, reported that the company is now expected to explore the interest of a handful of possible buyers-and Cargill is among those interested in acquiring Viterra.
Switzerland-based Glencore International AG is reportedly another possible suitor for Viterra. Glencore is currently attempting a $90 billion merger with South Africa-based Xstrata PLC, according to The Wall Street Journal. That deal could make it difficult to also complete a purchase of Viterra, the newspaper reported.
The Star Tribune reported that a deal for Viterra-Canada's largest grain-handling firm-would likely run around $5 billion.
Cargill declined to comment on the matter when contacted by the Minneapolis newspaper.