SYDNEY, April 26 GrainCorp Ltd agreed
on Friday to a revised A$3.0 billion ($3.1 billion) bid from
U.S.-based Archer Daniels Midland Co, ceding control of
Australia's largest independent grains handler after a six-month
Under the latest offer, GrainCorp shareholders will receive
A$12.20 per share, plus dividends totalling A$1 per share.
ADM has been pursuing GrainCorp since October, attracted by
its dominant position on Australia's east coast and the
country's access to Asian markets. In December, GrainCorp
rejected ADM's sweetened A$12.20 per share offer valuing the
company at $2.9 billion.
"The GrainCorp Board believes that the ADM offer highlights
the strategic value of our business and unique assets, the
program of strategic initiatives being undertaken and
GrainCorp's enviable proximity to the fast growing Asian
markets," said GrainCorp Chairman, Don Taylor.
ADM is more focused in the United States than its rivals
Cargill, Bunge and Louis Dreyfus.
GrainCorp operates seven of the eight bulk grain elevators
in eastern Australia, handling as much as 60 percent of the
region's wheat, barley, canola, chickpea and sorghum crops.
GrainCorp has granted ADM a week to complete due diligence.