SHAWNEE MISSION, KAS. — Seaboard Corp. has completed a transaction giving it control of Continental Grain’s shares in ContiLatin del Peru S.A. (C.L.D.P.). Financial terms of the transaction were not disclosed.
C.L.D.P. was founded in 1994 as a trade and import business. In 2007, Seaboard joined Continental Grain as a joint venture partner in the business. Over the past 12 years C.L.D.P. has grown into an industrial operation, with plants in Lurin and Trujillo, Peru, which are engaged in grain processing, soybean extrusion and animal feed production.
“This acquisition is consistent with Seaboard’s longstanding strategy of global integration with our wholly-owned grain trading operations,” said David Dannov, president of Seaboard Overseas Trading Group. “We operate grain and feed milling operations and related businesses in 42 locations in 23 countries, and those operations are primarily supplied by our commodity trading offices. C.L.D.P., with its leading position in Peru, is a key component of our presence in the region.”
Andre Ettedgui, operating partner for Continental Grain Latin America, added, “Our decision to exit C.L.D.P. reflects C.G.C.’s strategy to diversify away from grain trading operations, but we know we are leaving this business in good hands with Seaboard. C.G.C. is actively working to expand its presence in Peru and Latin America and we have a dedicated team that is actively sourcing and evaluating new investments in the region.”
Continental Grain and Seaboard’s relationship dates back to 1966, when the two companies collaborated on the purchase of a flour mill in Ecuador. Over the next 50-plus years the companies have worked together on other joint ventures throughout Latin America and the Caribbean.