Bunge, Viterra $34 bln deal heading for conditional EU nod, source says

Brussels | Reuters—U.S. grains merchant Bunge and Glencore-backed Viterra’s $34 billion (C$46.9 billion) merger deal is heading towards conditional EU antitrust approval, a person with direct knowledge of the matter said on Wednesday.

The companies announced the deal to create one of the world’s largest agriculture trading firms a year ago to better compete with market leaders Archer-Daniels-Midland and Cargill.

Bunge and Viterra earlier this month offered to sell Viterra’s crush and refining plants for oilseeds in Hungary and Poland to allay EU competition concerns.

They will now tweak these offered remedies in return for the European Commission’s approval and following feedback from market participants, the person said.

The Commission, which is scheduled to decide on the deal by Aug. 1, and Bunge declined to comment.

The deal, which has been given a green light in Brazil, faces regulatory headwinds and farm groups’ concerns in Canada.

Bloomberg was the first to report about the imminent EU approval.