COFCO and Nidera joined forces
On February 28, 2014, COFCO Corporation, the largest grain, oil and foodstuff company in China, and Nidera, global commodity trader and agribusiness company headquartered in the Netherlands, signed an agreement, pursuant to which COFCO will acquire 51% of Nidera to establish a strategic partnership with the reporting major player on the agricultural market with the annual turnover of 17 bln USD.
The envisaged transaction will provide Nidera with great potential for growth on the Chinese market and also strengthen COFCO’s position as the key player in the global agricultural industry through access to Nidera’s global origination and trading network and its fast growing seed business.
Ton van der Laan, CEO of Nidera, said, “This deal will generate great growth opportunities. The Chinese and Asian markets are of great importance to Nidera. We were looking for a strong partner to jointly invest in future growth and a strategic partnership with COFCO is an ideal choice for Nidera and will benefit both sides”.
“Investing in Nidera is in line with COFCO’s strategy to become a global player in the agricultural industry with a fully integrated value chain and represents a significant step towards COFCO’s global expansion.” Frank Ning, Chairman of COFCO, said.
Note. COFCO is the largest supplier of diversified products and services in the agricultural products and food industry in China through its fully integrated value chain model covering all aspects in the agri-food sector. It has 120,000 employees with over 12mn farming households participating in its business operation. COFCO has an extensive business portfolio covering agriculture commodity trading and processing, branded consumer foods, packaging materials and products, hotels & real estate, finance and others. COFCO is a widely recognized global company.
Nidera is a major international agribusiness and trading company with an annual turnover in excess of 17 bln USD. Nidera was founded in Rotterdam (the Netherlands) in 1920, with its early activities focusing on grain and foodstuffs merchandising in the regions from which it took its acronym: Nederland, (East) Indies, Deutschland, England, Russia, and Argentina. Currently Nidera has domestic and international operations in 18 major export and import countries and distributes its products to more than 60 countries in the world.
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