A South American aggregation company announced that it received an unwanted, non-negotiable proposal from Tether Investments.
Proposal $ 12.41 per share is to get a majority stake through a tender proposal. The deal will give Tathar a 51% stake in the company. Tether (USDT), which is currently about 19.4% of the outstanding shares of Adecoagro, submitted the proposal on 14 February 2025.
The company’s board met two days later and decided to attach legal and financial advisors to evaluate the proposal. The board has not taken the final decision and advised the shareholders not to take action yet.
Adecoagro is one of the largest agricultural producers in South America, established in 2002 and headquarters in Luxembourg.
The company manages the farm in Argentina, Brazil and Uruguay, producing major crops such as soybeans, corn and rice. It is also a major player in the region’s Chinese, ethanol and energy markets.
Tather’s adecogro stake
Tithi Investments have gradually extended their position in Edakogro in the last one year. On November 14, 2024, its latest public filing revealed the 19.4% stake.
The proposed proposal represents a premium at recent market prices, although Adecoagro did not disclose the trade level of the stock before the bid.
This proposal comes when interest from investors coming in contact with food production and bioenezee areas in global agricultural markets increases. Focusing on diverse operations and stability of Adecoagro has deployed it as a prominent player in the industry.
“The board of directors will reply in the appointed time,” the company said, emphasizing its commitment to shareholders’ best interests.
