Glencore to Acquire Viterra for $6.2 Billion

BAAR, Switzerland and REGINA, SaskatchewanSwiss commodities giant Glencore International announced it will acquire Viterra, Inc., Canadas largest grain handler, for $6.2 billion, pending regulatory approval. The company also will establish its North American headquarters in Regina.

Glencore intends to sell the majority of its Canadian assets to James Richardson & Sons of Winnipeg and Calgary-based fertilizer giant Agrium, while expanding its operations in North America. Agrium will acquire the majority of Viterra's retail agriproducts business, including its 34 % interest in Canadian Fertilizer Limited for $1.8 billion. Richardson International will acquire 23% of Viterra's Canadian grain handling assets, certain agricentres and certain processing assets in North America for $800 million.

The acquisition of Viterra is consistent with Glencores strategy of strengthening its position as one of the global leaders in grain and oilseeds markets. Viterras Tier 1 portfolio of assets in Canada and Australia will allow Glencore to build upon its position as one of the worlds largest commodity suppliers and provides the opportunity to leverage Glencores extensive global networks, expertise and best practices in order to create additional value across its agricultural businesses.

The acquisition of Viterra reflects our strong belief in the importance and future potential of the Canadian and Australian grain markets. This is an exciting opportunity to deliver the real benefits that can be generated through the combination of Glencores and Viterras respective assets, people and know-how to both farmers and customers in Canada, Australia and further afield," said Chris Mahoney, Director of Agricultural Products of Glencore.