June 12, 2009
ACCC approves Viterra's acquisition of ABB
The sale of ABB Grain to Viterra to create a A$3.79 billion business in control of 37 percent of Australia and Canada's wheat, canola and barley exports, took a leap forward after the Australian Competition and Consumer Commission (ACCC) approves of the deal.
The ACCC said there was no competition issues regarding the sale.
ABB shareholders, 45 percent of whom are farmers or former growers, are now expected to vote on the deal in late August to September. More than half of the shareholders have to vote 'yes' and 75 percent of the value of shares voted will also need to be in favour for the deal to pass through.
ABB shareholders will also need to overturn a 15 percent cap on shareholding, which will require a 75 percent by volume of shares voted to remove.
If the deal goes ahead, the head office will be relocated to Regina, Canada, but the Australian, New Zealand and South-East Asian operations of the new company would be based in Adelaide.
It will also have offices in New Zealand, the US, Singapore, Japan, China, Ukraine and Geneva, Switzerland.
The ABB and Viterra deal also requires approval from the Foreign Investment Review Board.
