August 23, 2012

As it seeks to meet demand from China and sees potential for deals across its units, Noble Group Ltd will target agricultural assets in the US.

"It's hard to be the supplier and partner of choice for China in the grain space, and especially in the corn space, without having significant origination assets in the US," CEO Yusuf Alireza said on Tuesday (Aug 21). "Over the medium term, that's an investment we're looking to make."

Noble announced deals worth at least US$2 billion in the past three years as it built its sugar operations in Brazil and energy assets in the US and Australia. The Hong Kong-based company last month said it was time to build the agriculture unit after shelving plans to sell shares in the business.

"We're seeing a consolidation process in the agriculture sector and that's going to arise very significant opportunities," said Alireza. Noble is considering different options, including acquisitions and potential partnerships with US companies, he said.