A leading global commodity merchant, which works across global markets including agriculture and base metals, has finalised a deal to exit the metals industry.
Louis Dreyfus Company has announced this week that it has completed the sale of its global metals business, LDC Metals, as it looks to refocus its portfolio and focus on core assets and commodities.
Originally announced in December 2017, the sale of the business to NCCL Natural Resources Investment Fund closed with a final purchase price of around US$4666 million.
The NCCL Natural Resources Investment Fund is managed by New China Capital Legend, along with two limited partners of AXAM Asset Management and China Molybdenum Co Ltd.
“We are confident that the Metals business will continue to thrive and grow with the existing management team, under new ownership. I would like to thank all LDC Metals employees for their commitment over the years of strong organic growth that helped establish the business in the leading position it enjoys today, and wish them every success for the future,” said Gonzalo Ramírez Martiarena, Chief Executive Officer of Louis Dreyfus Company.
Paul Akroyd, Chief Executive Officer of LDC Metals, said: “I would like to thank LDC’s Chairperson and the management and employees who have supported our business from its inception to the completion of this transaction. We have benefited greatly from the pool of talent, the strong reputation and the merchandizing culture of LDC, which were key to our success. We look forward to building upon these strengths in our next phase of growth with our new owners who have ambitious plans for our business. A very important step in this transition will be the announcement of our new name in the very near future.”
The conclusion of this transaction is another key milestone in LDC’s previously announced strategy to refocus its portfolio and resource allocation on its core business. “Moving forward, we will continue to concentrate on driving growth and innovation across the supply chains of our remaining agri-businesses, leveraging our strong relationships with farmers and customer-centric approach,” said Mr. Ramírez Martiarena.