Olam and Louis Dreyfus call off collaboration talks
Singapore-listed commodities supply chain Olam International Ltd. and privately-held Louis Dreyfus Commodities have called off collaboration talks. It did cause a short-lived splash in this secretive industry.
"The discussions have petered out […] they have ceased. We both gave it our best shot but decided to pursue our independent futures," Olam Chief Executive Sunny Verghese said at a results briefing in Singapore.
Verghese didn’t give any reasons for the two companies calling off the talks.
In September last year, the Singapore-based agricultural commodities supply chain manager had said that it was in preliminary discussions with the Louis Dreyfus Commodities about a possible business collaboration that might take the form of a merger.
Media reports had said at that time that Louis Dreyfus Commodities, a unit of privately held Louis Dreyfus Group was considering, among other things, a merger with Olam.
Olam, which is about 14%-owned by Singapore state investment company Temasek Holdings Ltd., is involved in the business of processing agricultural commodities such as edible nuts, spices, cocoa, coffee and rice with operations in 65 countries.
Louis Dreyfus is present in 11 global product lines from oilseeds, grains, rice to juice, cotton, coffee and sugar.
