Bunge's $4.4 billion deal to buy Corn Products could signal a new round of consolidation. Could ADM be the next big player to make a move?
With corn prices soaring (BusinessWeek.com, 6/18/08) since the floods in the Midwest put an estimated 3.3 million acres of crops under water, it's not surprising that companies with global reach and, more important, financial strength are looking to solidify their position in this increasingly vital market.
That's likely part of the rationale for food conglomerate Bunge's (BG) plan to buy Corn Products International (CPO) in an all-stock deal announced on June 23 and valued at $4.4 billion, or $56 for each share of Corn Products. The purchase price includes the assumption of roughly $414 million of Corn Products' net debt....MORE
Wednesday, June 25, 2008
A New Crop of Ag-Stock Deals? (ADM; BG; CPO)