Bunge exits sugar trading business, has ‘interested parties’: CEO

CHICAGO (Reuters) by Tom Polansek, Chris Prentice – Bunge Ltd (BG.N) is exiting the global sugar trading business and has identified “a few interested parties” in the business as it moves to concentrate on its grains and oilseeds operations, the company’s chief executive said on Wednesday. Bunge is getting out of sugar trading and distribution after reporting a fourth-quarter loss, which increased pressure on CEO Soren Schroder to improve results at the 200-year-old agricultural merchant that has received takeover approaches from Archer Daniels Midland Co (ADM.N) and Glencore Plc (GLEN.L). Schroder told Reuters he thinks Bunge’s sugar trading business should have value to other industry members. “We’ve got a few interested parties so that will be our first path of action,” he said in an interview. Schroder declined to name the interested parties. Bunge is a major player in the global sugar industry, both as a trader and as a producer. Trading “was historically positive” for the company, Citigroup analyst David Driscoll said on a Bunge conference call. “I‘m not exactly clear why you’d really want to shut that one down,” he said. Bunge has been seeking to get out of the sugar milling business in top-grower Brazil since 2013… continue reading

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