LONDON: Glencore Plc’s takeover approach for US grain trader Bunge Ltd highlights how much the Swiss commodity giant is longing to increase its dominance in the Americas and bust up the stranglehold exerted on the industry by four key players.
Glencore said in a statement on Tuesday it approached Bunge about a potential “consensual business combination” and there’s no certainty that a deal will happen. Shares of the US company surged, giving it a market value of US$11.5bil. Bunge later said it isn’t engaged in “business combination discussions” with Glencore or the company’s agriculture unit.