Marubeni's purchase of Gavilon delayed

by World Grain Staff
Share This:
TOKYO, JAPAN — Marubeni Corp.'s $5.6 billion purchase of grain merchant Gavilon is being delayed by at least two months, held up by talks on ownership of Kalama Export Co. between Gavilon and Archer Daniels Midland Co. (ADM), as well as regulatory reviews, Reuters reported on Aug. 23, citing unnamed sources.
The transaction was expected to be complete in September, but now has been delayed to November. Officials in China and the U.S. are considering anti-trust implications, according to Reuters. The delay had nothing to do with concerns over the concentration of ownership of American grain elevators or due to opposition toward a foreign company acquiring assets, the news agency reported.
China's commerce ministry needs to approve the sale of Gavilon to Marubeni, but hasn't responded to faxed questions on its review of the transaction, the report said.
A Marubeni spokesman declined to comment, the report said.
Partners