Bunge has announced that its Bunge Loders Croklaan oils and fats joint venture has agreed to sell its Rotterdam refinery to Neste for €258 million in cash, excluding working capital.
In a phased transition through 2024, Bunge will lease back the facility from Neste to enable it to continue to supply customers with its products.
Bunge says that it will invest a portion of the proceeds from the sale in its operations, in order to enhance efficiency and flexibility across its oils portfolio.
“This transaction supports our long-term strategy in value-added oils and oilseeds-based ingredients by enabling us to further enhance our footprint in an innovative and sustainable way,” said Bunge CEO, Greg Heckman.
The transaction is expected to close in the first quarter of 2021, subject to regulatory approvals.
Last year, Bunge agreed to sell its margarine and mayonnaise assets in Brazil to Seara Alimentos, a subsidiary of Brazilian meat processor JBS, for 700 million reals ($170.64 million).