Bunge forms Indonesian palm oil joint venture
Nov. 2, 2011
by Keith Nunes
WHITE PLAINS, N.Y. — Bunge Agribusiness Singapore Pte. Ltd., a business unit of Bunge Ltd., has entered into a joint venture with PT Bumiraya Investindo, an Indonesian palm plantation subsidiary of PT Tiga Pilar Sejahtera Food. Under the agreement, Bunge will acquire a 35% minority stake in PT Bumiraya Investindo.
Terms of the agreement were not disclosed and it is subject to Tiga Pilar Sejahter Food shareholder approval as well as Indonesian regulatory approval.
“Our investment in B.R.I. represents a first step in building an upstream presence in palm oil,” said Christopher White, chief executive officer of Bunge Asia. “It is a natural fit, through which we can leverage our core capabilities and experience in a complementary value chain that represents over 30% of the world's total vegetable oil production.”