Leading South Korean food company CJ CheilJedang Corp has cancelled the sale of its equity stake in Brazilian soyabean crushing subsidiary CJ Selecta to global agribusiness giant Bunge, World Grain reported, citing a regulatory filing with the Korean Exchange and Korean media coverage.
In October 2023, CJ CheilJedang had entered into a share purchase agreement to sell 66% of CJ Selecta’s shares to the Brazilian subsidiary of Bunge, the 30 April report said.
CJ CheilJedang owns 10% of CJ Selecta, with the remaining 56% owned by the company’s special purpose corporation, CJ Latam.
In its electronic filing on 25 April, CJ CheilJedang said “the possibility of meeting the transaction’s precedent conditions is unclear”.
The company also said it exercised its “contractual rights and notified the counterparty of the contract termination to resolve uncertainties and focus on stable business operations”.
According to its website, CJ Selecta is one of Brazil’s leading exporters of soyabean protein concentrate with an industrial unit in Araguari, a commercial office in São Paulo and several branches throughout Brazil.
Based in the state of Minas Gerais, the company changed its name from Sementes Selecta to CJ Selecta following its acquisition in 2017 by CJ CheilJedang.
CJ CheilJedang Corporation is an international food company based in Seoul that manufactures food ingredients, frozen and chilled packaged food products, pharmaceuticals and biotechnology.
