June 13, 2023

Tauil & Chequer Advogados and Latham & Watkins advise on US$ 30 billion merger between Bunge and Viterra Groups in Brazil

Tauil & Chequer Advogados in association with Mayer Brown advised, along with Latham & Watkins LLP, the Bunge Group in its merger with the Viterra Group in Brazil. The transaction encompasses the worldwide operations of both Groups and will create a global agricultural trade behemoth, worth US$ 30 billion.

Through the transaction, Viterra's shareholders will receive approximately 65.6 million Bunge shares, with an added value of US$ 6.2 billion, and approximately US$ 2 billion in cash. Bunge will assume US$ 9.8 billion in debt from Viterra, which is associated with approximately US$ 9 billion in highly liquid and ready-to-negotiate inventory.

In addition, Bunge announced that it intends to repurchase, within 18 months, US$ 2 billion of its own shares to raise adjusted net income. Thus, Viterra shareholders would own 30% of the newly combined company and 33% after Bunge's share buyback plan.

The team was led by partners Christian Roschmann and Lilian Toscani (M&A), with the participation of associates Stefano Braga and André Pini (M&A). Partners Francisco Todorov and Adriana Giannini (Antitrust and Competition) and associate Isabella Giorgi (Antitrust and Competition), as well as partner Aline Fidelis (Employment & Benefits) and associate Isabella Fraia (Employment & Benefits) also played an important role in the transaction.

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