Following up on last month's "China's Biggest State-owned Grain Trader Buying Grain Traders".
From MoneyBeat:
Chinese state-owned grain trader Cofco Corp.’s back-to-back purchases of controlling stakes in two global agricultural commodities traders signal a maturing food security strategy for the PRC. After buying up global food supply, China is now securing a global supply chain.
In February, Cofco said it would buy a 51% stake in Netherlands-based grain trader Nidera NV. This week, Cofco and mainland private-equity firm Hopu Investment Management Co. moved to buy a 51% stake in the agribusiness division of Singapore-listed commodities trader Noble Group Ltd.N21.SG +5.02% for US$1.5 billion.
The deals give Cofco global infrastructure to move food commodities around the world.
“It makes all the sense in the world that Cofco, China, wants to be connected somehow, someway directly to the source,” said Soren Schroder, chief executive officer of agriculture company Bunge Ltd.BG -0.21%, at the Financial Times Commodities Global Summit in Lausanne this week...MORE
