South Africa Clears ADM's GrainCorp Acquisition

DECATUR, Ill.The Competition Commission of South Africa approved Archer Daniels Midland Company (ADM)'s proposed acquisition of GrainCorp Limited, making South Africa the fourth government agency to clear the acquisition.

The U.S. Federal Trade Commission (FTC) also approved the acquisition in November 2012, followed by the Australian Competition and Consumer Commission in June 2013 and Canadas Competition Bureau in July. ADM continues to work with regulators in Australia, China, the European Union, Japan and South Korea.

In April 2013, ADM signed a takeover bid implementation deed and began due diligence on GrainCorp. ADM agreed to make a cash offer of $3.5 billion (A$3.4 billion), and under terms of the deal, shareholders will receive a cash payment of $12.20 per share, plus a dividend of $1 per share.