Processing Magazine

Bunge to Pursue Australia Sugar Opportunities as Bid Blocked

February 22, 2011

According to Bloomberg, Bunge Ltd., will continue to seek acquisition opportunities in the sugar industry in Australia, the third-largest exporter, after its $127 million bid for Tully Sugar Ltd., was blocked. The company is waiting for a rival offer from Mackay Sugar Ltd. for Tully before deciding its next move. Bunge, the world’s second-largest sugar trader, remains interested in Australian sugar even if it fails to win Tully. Bunge lodged a bid for closely-held Tully in Queensland, seeking to expand in sugar-exporting countries amid rising Asian demand. The takeover was blocked on Feb. 18 when Queensland Sugar Ltd. and Mackay Sugar opposed the removal of a 20 percent shareholding cap and said a rival proposal was being developed.