Comprehensive M&A data with integrated detailed company information

Cargill offloading CarVal stake
Posted on Friday, 13 September 2019 14:05
Cargill has unveiled the signing of an agreement, as part of which it will sell its ownership and economic interest in CarVal Investors to a partnership between members of the company’s senior management.

No financial details of the transaction have been disclosed.

Completion is slated to follow during the fourth quarter of 2019, subject to the green light from investors in the target’s funds, which Cargill will remain invested in after closing.

Jay Olson, chairman of CarVal’s board, said he is confident the target will thrive as an employee-owned business, noting that the decision to sell was reached through a collaborative process.

Following completion of the deal, the target’s managing principals, Lucas Detor, James Ganley and Jody Gunderson, will remain in place as persons responsible for strategic direction, investments and operations, respectively.

CarVal claims to be a leading global alternative investment manager, with a focus on distressed and credit-intensive assets and market inefficiencies.

The company was established in 1987 and manages assets with a combined value of USD 10.00 billion and spanning corporate securities, loan portfolios and structured credit and hard assets.

To date, it has invested USD 116.00 billion in 5,360 deals in 80 countries.

According to Zephyr, the M&A database published by Bureau van Dijk, there have been 733 deals targeting portfolio management companies announced worldwide since the beginning of 2019.

Of these, the most valuable is worth USD 4.80 billion and took the form of an acquisition of Oaktree Capital Group by Brookfield Asset Management. The takeover was agreed in March and is slated to close by the end of this month.

Second place was taken by a USD 2.25 billion acquisition of National Power Investment Group Capital Holdings by SPIC Dongfang New Energy.

Other companies in the sector to have been targeted this year include Primonial Holding, AXA Equitable Holdings and China Reform Health Management and Services Group.

© Zephus Ltd