April 29, 2012

Bunge to purchase shares from United Grain Company

Bunge Ltd. claims to purchase shares from the United Grain Company, declared Jordi Costa, Vice-President of Bunge on agribusiness, sugar and bioenergy.

Previously, the following participants appeared among the contenders to purchase 50% of shares minus one share of United Grain Company: Investment Group "Summa" of the businessman Ziyavudin Magomedov, the agricultural holding "Kuban" affiliated with "Baselom" of Oleg Deripaska, and representing the interests of Glencore. Also the large Russian agricultural holding "Rusagro", the world largest grain trader Louis Dreyfus, the Volga company "Bio-tone", "Neftegazindustriya" are interested in the purchase.

Bunge is one of the world largest agricultural traders, along with Cargill, Louis Dreyfus and Archer Daniels Midland.

United Grain Company is the state agent in purchasing and commodity interventions on the agricultural market, operates 30 companies, including the terminals, grain elevators. According to the president decree to increase the authorised capital of United Grain Company, the additional issue of the company (and, hence, its privatisation) should be completed by May 7, 2012.