ADM Announces Sale of Stake in GrainCorp
02 December 2016 - 8:00AM
Business Wire
Archer Daniels Midland Company (NYSE: ADM) announced today that
it has entered into an underwriting agreement to sell its 19.9
percent ownership stake in GrainCorp Limited (ASX: GNC) for a total
value of about A$387 million.
“As part of our ongoing portfolio management, we carefully
considered our equity investment position in GrainCorp and
determined that we could better meet our long-term returns
objectives by reallocating that capital,” said ADM Chairman and CEO
Juan Luciano. “This transaction will allow us to further reduce our
invested capital, and it will provide cash that we can redeploy to
higher-return investments as we continue to execute our balanced
capital-allocation framework.”
The transaction has been executed by way of an underwritten sale
to an underwriter. Under the terms of the agreement, ADM will sell
all of its 19.9 percent investment in the issued capital in
GrainCorp at a price of A$8.53 per share.
About ADM
For more than a century, the people of Archer Daniels Midland
Company (NYSE: ADM) have transformed crops into products that serve
the vital needs of a growing world. Today, we’re one of the world’s
largest agricultural processors and food ingredient providers, with
more than 32,300 employees serving customers in more than 160
countries. With a global value chain that includes 428 crop
procurement locations, 280 ingredient manufacturing facilities, 39
innovation centers and the world’s premier crop transportation
network, we connect the harvest to the home, making products for
food, animal feed, industrial and energy uses. Learn more at
www.adm.com.
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Archer Daniels Midland CompanyMedia
RelationsJackie Anderson312-634-8484media@adm.com
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