Wilmar International Ltd. said March 11 that it agreed to buy shares it does not already own in food ingredients producer Goodman Fielder for $180 million.
The Singaporean agribusiness company will acquire the remaining 50% interest of FPW Singapore Holdings Pte. Ltd., which owns Goodman Fielder, from Oceanica Development Ltd., an indirect wholly owned subsidiary of Hong Kong investment management company First Pacific Co. Ltd.
Under the deal, Wilmar will also acquire shareholder loans advanced by Oceania to a subsidiary of FPW for $95 million. If Goodman Fielder meets "certain earnings targets" for the year ending Dec. 31, 2020, Wilmar said it may pay an additional $50 million to Oceania.
Wilmar intends to fund the deal from internal sources. The company added that the acquisition, which is subject to customary regulatory approvals, is not expected to have a material impact on its consolidated net tangible assets and EPS for the year ending Dec. 31.