Offer made by Cargill to acquire Provimi

Offer made by Cargill to acquire Provimi for €1.5 billion

The Provimi Group, a leading, global animal nutrition business, today announces that a binding offer has been received from Cargill to acquire Provimi from the Permira funds for an enterprise value of €1.5 billion ($2.2 billion). Provimi has agreed with Cargill to commence the necessary Works Council consultations and appropriate anti-trust processes, on an exclusive basis.

A combination of Provimi and Cargill is strategically compelling and would create a powerful force in the global animal nutrition market. With complementary businesses, the two companies would be an excellent fit geographically and culturally.

Cargill, one of the largest private companies in the world, is an international producer of food, agricultural financial and industrial products and services and has a strong and growing animal nutrition business.

For Cargill, Provimi facilitates a significant move into the high value added premix and specialties segments as well as bringing strong positions within the emerging markets of Latin America, Russia and Asia. Provimi and Cargill have a strong cultural fit with a core emphasis on values and people. The wealth of talent within Provimi, including within their Feed Solutions organization, together with the strong Provimi brand are key reasons for the acquisition.

For Provimi, Cargill's commitment to animal nutrition, its scale and competitive advantages make it an ideal partner to take its business to the next level. Cargill could deliver economies of scale including sourcing opportunities, potential for a more efficient production base and access to new markets and growth opportunities; it is committed to invest further to grow the business and will provide enhanced career opportunities for their people within a global organization, including the ability to exchange expertise with its broad range of businesses.