Swiss commodity trader Glencore has bid $325 million for the remaining minority stake in Renova, an Argentina-based soy crushing business owned by the bankrupt family-owned Vincentin.
Renova had been owned 50:50 between Vicentin and Glencore, until Vicentin faced bankruptcy last year, and Glencore acquired an additional 16.7 percent stake in December 2019 - bringing its total stake to 66.7 percent. This offer would give Glencore full ownership.
Vicentin was one of the top processed soy exporters in Argentina, however crushing stopped at Renova after defaulting on its debts. However, Glencore has continued paying its employees in anticipation of fully acquiring the business.
With a daily crush capacity of 20,000 tons, Renova is one of the top soy crushers in the world, and is based in the top global exporter of soy-based feed used by the swine and poultry industries in Asia and Europe. The industry is also a critical source of export dollars for Argentina, which has been experiencing a recession that has been compounded by the pandemic.
Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at email@example.com.