Olam to inject US$500 million into ofi, liquidate remaining assets over time

[SINGAPORE] Olam Group will invest US$500 million equity into Olam Food Ingredients (ofi) within the next three months, while de-leveraging the remaining Olam group for progressive liquidation, as part of its reorganisation plan amid the disposal of Olam Agri.

The US$500 million investment, funded by internal resources, is aimed to “position ofi to pursue profitable growth” so that Olam can resume the delayed ofi initial public offering (IPO) plans in both Europe and Singapore, said Olam’s chief executive officer Sunny Verghese in a press conference on Monday (Apr 14).

The agri-business giant, which announced the divestment plan of one of the two profit-making units – Olam Agri – in February, is also open to private routes to unlock value from ofi.