Olam buys US peanut sheller McCleskey Mills for US$176m

Singapore

MAINBOARD-LISTED Olam International, whose agribusiness operates across the value chain in 65 countries, on Friday announced the acquisition of a 100 per cent equity stake in US peanut sheller McCleskey Mills (MMI) for US$176 million. This is Olam's largest acquisition since its 2010 purchase of Gilroy Foods for US$250 million.

With two large shelling facilities in Georgia (the US state that produces 45 per cent of peanuts in the country) and an annual capacity of about 250,000 farmer stock tonnes, MMI is the third-largest peanut sheller in the United States, commanding about 12 per cent market share.