RPT-UPDATE 1-Bunge to buy Tate & Lyle sugar trading unit
(Repeats to wider audience) (Adds company comment)
ATLANTA, July 2 (Reuters) - Grain and oilseed processor Bunge Ltd (BG.N) said on Wednesday it will acquire the international sugar trading and marketing division of Tate & Lyle Plc (TATE.L).
Terms were not disclosed, but a Bunge representative said in an e-mail that the deal is "not material in size."
The operations and employees of Tate & Lyle's international sugar trading business will transfer to Bunge, the company said. The working capital in the business will remain with, and be collected and paid by, Tate & Lyle through March 31, 2009, at which point it will be assumed by Bunge.
In a statement, Bunge said the deal will create a stronger network for sugar origination in Brazil, Thailand and other countries.
"Bunge's strategy is to expand into complementary value chains, and sugar is an essential one," said Archie Gwathmey, co-chief executive of Bunge Global Agribusiness.
Bunge, based in White Plains, New York, said last month it would buy Corn Products International (CPO.N) for $4.4 billion to gain a leading position in finished corn products such as starches and sweeteners. (Reporting by Karen Jacobs in Atlanta, Lisa Shumaker in Chicago and Nicole Maestri in New York; editing by John Wallace)
