Olam has 90% of Farming Systems Uruguay, can take it private

Singapore-based commodities company Olam International has succeeded in gaining more than 90% of takeover target NZ Farming Systems Uruguay, allowing it to take it private.

Olam had 90.19% of Farming Systems, enough to compulsorily acquire the rest, it says in a statement today. It offered 75 cents a share last month to mop up the 14% of Farming Systems it did not already own in its second attempt to get to 100% of the target after taking control last year.

Shares of Farming Systems last traded at 73 cents, giving it a market value of $178 million. The stock is up about 12% this year.

The company first listed in December 2007 with the aim of building a dairying business based on New Zealand farming techniques in the South American country, where land was comparatively cheap and the industry relatively undeveloped.

In August it announced it had missed its guidance with a full-year loss of $US7.6 million and signalled plans to raise $US135 million to repay a debt to its controlling shareholder Olam.


1 · Got a question about this story? Leave it in Comments & Questions below.

This article is tagged with the following keywords. Find out more about MyNBR Tags

1 Comment & Question

Commenter icon key: Subscriber Verified

this company had plenty of upside to it but unfortunately us dumb kiwis couldn't see it.
it was a great way for ordinary kiwis to get involved in the dairy industry but alas not to be.
i hope that someone else can start up a similar company based in nzand list it on the nzx

  • 0
  • 0

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot


Sym Price Change
USD 0.6671 0.0068 1.03%
AUD 0.9182 0.0004 0.04%
EUR 0.5925 0.0043 0.73%
GBP 0.4344 0.0033 0.77%
HKD 5.1702 0.0528 1.03%
JPY 79.9880 0.8180 1.03%


Commodity Price Change Time
Gold Index 1144.3 -2.690 2015-10-07T00:
Oil Brent 51.8 1.450 2015-10-07T00:
Oil Nymex 48.4 -0.680 2015-10-07T00:
Silver Index 16.1 0.110 2015-10-07T00:


Symbol Open High Last %
NZX 50 5650.0 5674.8 5650.0 -0.43%
NASDAQ 4775.1 4819.1 4791.1 0.41%
DAX 9942.8 10027.4 9970.4 0.23%
DJI 16904.2 17081.3 16912.3 0.82%
FTSE 6336.4 6380.3 6336.4 0.61%
HKSE 22588.7 22588.7 22515.8 -0.71%
NI225 18310.6 18400.7 18323.0 -0.99%