Olam to sell remaining stake in Olam Agri for US$2.6 billion, focuses on IPO of business unit ofi

OLAM is divesting its remaining stake in Olam Agri to Saudi Agricultural and Livestock Investment Company (Salic) for US$2.6 billion.

While the board has yet decided on the specific use of the proceeds, Olam’s co-founder and group chief executive officer Sunny Verghese said Olam would continue seeking “strategic options to unlock value” for the other two parts of its business – ofi (Olam Food Ingredients) and the remaining Olam Group – including the pursuit of an initial public offering for ofi.

Shares of Olam Group , which holds about 64.6 per cent of Olam Agri, jumped 5.3 per cent, or S$0.06, to close at S$1.19 on Monday (Feb 24).