Louis Dreyfus, Amaggi Said to Hire HSBC for Terminal Stake Sale

  • Terminal at Brazilian port of Itaqui exports soybeans, corn
  • Other investors in 5 million-ton facility include Glencore

Agricultural commodity merchants Louis Dreyfus Co. and Amaggi Group hired HSBC Holdings Plc to sell part or all of their 25 percent stake in a terminal at the northeast Brazilian port of Itaqui, said two people with direct knowledge of the matter.

The sale process is already under way, according to the people, who asked not to be named because the discussions are private. Rotterdam-based Louis Dreyfus and Brazil’s Amaggi hold their interest in the terminal through a joint venture.

The terminal provided much-needed capacity for the shipment of crops such as soybeans, of which Brazil is the world’s largest exporter. Aside from the Louis Dreyfus-Amaggi venture, the other investors in the terminal are Glencore Plc and Brazilian agricultural companies NovaAgri and Cantagalo General Grains SA.

In 2011, the shareholders acquired the concession to construct and operate one of four parts of the Terminal de Graos do Maranhao -- also known by its abbreviation, Tegram. Since then, the companies have spent 600 million reais ($170 million) on the facility in Maranhao state, which has the capacity to handle 5 million tons a year of soybeans and corn. They plan to invest an additional 130 million reais.

Spokesmen for Louis Dreyfus and HSBC declined to comment. A spokesman for Amaggi didn’t respond to messages seeking comment.

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