Olam International buys Archer Daniels Midland cocoa business for $1.3 billion
One of the world's largest processors and suppliers of cocoa liquor, powder and butter, ADM's worldwide cocoa business (ADM Cocoa) comprises cocoa processing assets made up of 8 factories with total capacity of 600,000 MT, 10 warehouses, 2 usines, 4 innovation centres, the iconic deZaan brand and its 2,150 plus customer franchise, and a marketing network across 16 countries.
The acquired business does not include assets under ADM's global chocolate business. Over 1,500 ADM Cocoa employees including 30 R&D professionals will join the combined cocoa entity as part of the transaction.
Olam's Co-Founder, Group MD and CEO, Sunny Verghese said: "With Cocoa being a prioritised platform for investment, this proposed acquisition represents a transformational opportunity for Olam Cocoa to become an integrated global leader in a market with attractive growth prospects." ■