Miller Magazine Issue: 149 May 2022

42 MILLER / MAY 2022 NEWS The Saudi Agricultural and Livestock Investment Company (SALIC), a wholly owned subsidiary of Public Invest- ment Fund of the Kingdom of Saudi Arabia to invest US$1.24 billion for an estimated 35.4% stake in Olam Agri. The transaction is expected to be completed during 2022 after obtaining the required approvals from the rele- vant international authorities. The deal implies a valuation of $3.5 billion for Olam Agri, one of three operating groups formed in early 2020 as the result of a re-organisation. “It marks yet another key milestone in Olam’s Re-organ- isation journey; together with the ongoing IPO plans of ofi, this secondary placement for Olam Agri would lead to an immediate unlocking of value for our shareholders, set a benchmark valuation for the future IPO and demerger of Olam Agri, and right-size our balance sheet and reduce gearing at the Group level,” said Sunny Verghese, Olam Group’s chief executive. “Olam’s partnership with SALIC, a strategic, global investor, will position us for even stronger growth as we realise synergies across our complementa- ry strengths. SALIC’s investment into Olam Agri attests to its consistently strong financial performance and robust growth outlook, following a record year in 2021.” Group CEO of SALIC, Eng. Sulaiman Al Rumaih said: “AL- IC’s investment in Olam Agri is aligned with its strategy and the Kingdom of Saudi Arabia’s Vision 2030 objective for food security. SALIC’s key strategic objective is to contrib- ute to global and domestic food security through long-term strategic investments in the local and international mar- kets.” It is noteworthy that Olam Agri is one of the world’s lead- ing commodity trading and processing companies special- izing in grains, oilseeds, rice, and animal feed. The com- pany employs more than 9,100 employees in more than 30 countries. In 2021, the company handled more than 40 million tons of products and achieved revenues above USD 23 billion. Saudi Arabia’s SALIC acquires $1.24 billion stake in Olam Agri