Bunge buying Viterra???

[TOM4CWB]

Bloomberg- 5pm-May 25-2023
Glencore’s Viterra in Merger Talks With US Grain Rival Bunge
Companies are discussing structure of a potential deal
Bunge rebuffed a previous approach by Glencore in 2017

Glencore Plc-backed agriculture trader Viterra is in talks to merge with US rival Bunge Ltd., one of the world’s largest crop merchants, according to people with knowledge of the matter.

The companies are negotiating the structure of a potential transaction, said the people, who asked not to be identified discussing confidential information. One option being discussed envisions a stock deal where Bunge shareholders would own a majority of the combined group, according to the people.

[wmoebis]

Bloomberg- 5pm-May 25-2023
Glencore’s Viterra in Merger Talks With US Grain Rival Bunge
Companies are discussing structure of a potential deal
Bunge rebuffed a previous approach by Glencore in 2017

Glencore Plc-backed agriculture trader Viterra is in talks to merge with US rival Bunge Ltd., one of the world’s largest crop merchants, according to people with knowledge of the matter.

The companies are negotiating the structure of a potential transaction, said the people, who asked not to be identified discussing confidential information. One option being discussed envisions a stock deal where Bunge shareholders would own a majority of the combined group, according to the people.

Wonder if it will include G3 or if this is a stepping stone to that end?

[LWeber]

Wonder if it will include G3 or if this is a stepping stone to that end?

Saudi's SALIC owns 75% of G3 - the rest is Bunge and whatever abomination the farmer's equity plan that this represents:

There are some scenarios under which farmers may be able to redeem their Trust Units; however, the primary intention of the G3 Farmers Equity Plan is to foster a long-term relationship between farmers and G3 Canada Limited, as opposed to providing a cash-out opportunity. The Declaration of Trust stipulates that farmers may redeem their Trust Units at the age of 75, provided they have held them for a minimum of three years, or, in the event of a Unitholder’s death, Trust Units are redeemable by the estate. In both instances the redemption of Trust Units is at the sole discretion of the Trustees having determined that there are sufficient cash reserves in the Trust to complete the redemption. Trust Units may also be redeemed in the event the Trust is bought out. The transfer of Trust Units by a Unitholder is permitted in certain circumstances, where the transferee is related to the Unitholder, as provided in the Declaration of Trust. Any other transfer of Trust Units from one eligible farmer to another will only be permitted subject to the approval of the Trustees, in their sole discretion. The key opportunity for farmers is to share in the long term success of G3 Canada Limited through the potential for future cash distributions.
__________________________________________________ __________________

Has any one tried to get $ out?

Edit:
added hyperlink

https://www.g3.ca/FEP_Disclosure_082016.pdf

[wmoebis]

Sounds like a wheel of a deal for farmers! How did Saudi Gov't get from 51% to 75% ownership?

[LWeber]

Sounds like a wheel of a deal for farmers! How did Saudi Gov't get from 51% to 75% ownership?

In two steps this year, SALIC, an arm of the state-owned Public Investment Fund, grew its stake in the G3 joint venture to 75 percent from 49 percent, according to an April 28 Bunge filing. SALIC converted $106 million in promissory notes into additional shares in the joint venture with Bunge on Feb. 1. This took its stake in the majority investor of Winnipeg-based G3 to 65 percent from 49 percent, and reduced Bunge’s share to 35 percent. Bunge then exercised an option on March 30 to sell shares to SALIC for $37 million, bumping up SALIC’s ownership of G3 Global Holdings to 75 percent.

(REUTERS - June, 2016)

[furrowtickler]

One thing about G3 they have been far far higher higher pricing on Wheat and canola for the past 18 months over Richardsons, P&H or any one else local
Actually the locals are not even close

[wmoebis]

One thing about G3 they have been far far higher higher pricing on Wheat and canola for the past 18 months over Richardsons, P&H or any one else local
Actually the locals are not even close

Saudi's have lots of money from selling oil to Eastern Canada nice they are leaving it here. G3 will soon be G1 no doubt, that is likely the way it was designed.

[LWeber]

Saudi's have lots of money from selling oil to Eastern Canada nice they are leaving it here. G3 will soon be G1 no doubt, that is likely the way it was designed.

A farmer in August 2013 who was 65 years old and hauled 40 MT couldn't get his $200.00 trust share out until Aug 2023...

“The value of these shares and this equity position reflects the adjusted closing amount of G3 Global Grain Group’s investment on July 31, 2015,” the trustees said in an email last week. “The trust also received $10 million (pre-tax) to be used for operations over the lifetime of its existence.” MB COOPERATOR - AUG 2015 - Alan Dawson

The share units in the equity trust cannot be sold until all the shares have been allocated or for seven years, which is when G3 has the right to buy them all.

Quite the pyramid scheme...At least with the Coop, it is payable at a retirement age of 65.

This whole thing was circumspect from the start... Too much quicksand for an ostrich.

[Old Cowzilla]

G3 is just hoping we cash in our chips before we can cash in our chips so too speak. Still lots of time they are $500 - $1000 MORE for every load of canola compared to other guys next door. Don't worry about those pretend shares too much.

[oldjim]

G3 told me I can get my "equity" out at age 75.

[Marusko]

amalgamation like this is usually a bad thing for farmers. less competition. in a similar vein, who the f/ck thought Shaw and Rogers merger is a good idea in a market already dominated by just a few major players?

G3 elevator here started taking grain in 2019 I think? and blew away the competition (Richardson) till sometime this year, now the best bid can be either company depending on the day. enjoy your g3 premium while it lasts.