The Saudi Agricultural and Livestock Investment Company (SALIC) has signed an agreement to increase its stake in Olam Agri Holdings, the parent company of Queensland Cotton, to 80%. This strategic investment aims to unlock new avenues for growth and strengthen sustainable sourcing.
- Olam Group to sell a 44.58% stake in Olam Agri to SALIC for approximately US$1.78 billion, at an implied 100% equity valuation for Olam Agri of US$4.00 billion
- Olam Group to sell its remaining 19.99% stake in Olam Agri to SALIC at the end of three years1 from completion of the above mentioned sale at the Closing Valuation2 plus 6% IRR
Since SALIC’s investment in Olam Agri in 2022, our partnership with SALIC has unveiled new avenues of growth. With its strategic mandate as a global agrifoods investor and related complementary strengths, SALIC and Olam Agri share the same vision and focus on sustainable sourcing and commitment to meet the rising demand for food, feed and fibre. Importantly, this transaction is transformative for Olam Agri.
“The sale of Olam Agri to SALIC marks another key milestone in Olam’s Re-organisation journey announced in January 2020. With this transaction, we can now focus our attention on seeking strategic options to unlock value for the Remaining Olam Group businesses and ofi, including the pursuit of an ofi IPO”.
Sunny Verghese, OGL’s Co-Founder and Group CEO
