Archer Daniels Midland Company (ADM), Chicago, has reached an agreement to sell its global cocoa business to Olam International Limited, Singapore, for $1.3 billion, subject to customary adjustments.
“We are continuing to actively manage our portfolio to create shareholder value by improving returns and dampening the volatility of our earnings,” says Patricia Woertz, ADM chairman and CEO. “This transaction will allow us to redeploy capital to investments that offer improved returns potential and less volatility than the cocoa business, or distribute excess capital to shareholders, or a combination of both.”