Louis Dreyfus Completes Sale Of 45% Stake To ADQ
Louis Dreyfus Company Holdings B.V. has announced the completion of the sale of an indirect 45% equity stake in Louis Dreyfus Company B.V. (LDC) to Abu Dhabi-based ADQ, one of the region’s largest holding companies.
In November 2020, the commodity trader agreed to sell a 45% stake to the Abu Dhabi-based holding company ADQ, ending chairwoman Margarita Louis-Dreyfus' long search for a new investor in the 169-year old company.
New Chapter For Louis Dreyfus Company
"The transaction completed today represents the start of a new chapter for LDC, as we welcome ADQ into our shareholder group and initiate a new phase of growth for the company, guided by a shared vision for LDC’s future," said Margarita Louis-Dreyfus, chairperson of the supervisory board.
Louis Dreyfus remains focused on putting its strategy into action, while fulfilling its key role to keep essential agricultural product supply chains moving safely, reliably, and responsibly.
A portion of the transaction proceeds has been invested into LDC in the form of an early and full repayment of a US$1,051 million intragroup long-term loan granted by LDC to its parent company, originally maturing in 2023.
Long-Term Business Plan
These funds will support the pursuit of the company’s long-term business plan and strategy.
"This partnership with ADQ reinforces LDC’s position and financial strength to accelerate strategic investments as part of our growth plans and ambitions, including in new areas such as plant-based proteins, as well as in projects to move further downstream in several of our existing business lines," said Michael Gelchie, LDC’s Group CEO.
"I look forward to continuing to work alongside the Supervisory Board to advance our shared ambitions for investment in innovation and technologies that can transform food and agricultural production sustainably, building on LDC’s leading position in core merchandising activities and strong performance in 2020."