Bunge Global SA (BG.US) received approval from Canada for its $8 billion acquisition of Viterra.

One of the world's largest crop traders, Bunge Global SA (BG.US), has received approval from Canada for its $8 billion acquisition of Canadian grain merchant Viterra Inc. Before making this decision on Tuesday, global regulatory approvals had delayed the deal, originally set to be completed by mid-2024. Canada's approval comes with some conditions, including the sale of some assets. Bunge Global SA is known to be the "B" in the international group of four grain traders known as the ABCD, which has dominated the agricultural market for over a century. The acquisition of Viterra was announced in June 2023, creating a $25 billion giant that can compete with industry elites such as Archer Daniels Midland (ADM.US) and Cargill representing the "A" and "C" in the ABCD, and Louis Dreyfus representing the "D". In a statement, Bunge Global SA said, "This is an important milestone in completing the Bunge Global SA-Viterra transaction. With approval in Canada, we are nearing completion of the regulatory process and expect to finalize it by early 2025." Bunge Global SA is still awaiting approval from Chinese regulatory agencies. Previously, Canadian antitrust regulators expressed concerns about the acquisition, stating that it would have a "significant anti-competitive impact" on the agricultural market. CEO of Bunge Global SA Greg Heckman published a commentary article in a Canadian trade publication last year, attempting to alleviate concerns by stating that the agreement is beneficial for Canada and will not result in the closure of any facilities in the country. He also disagreed with the findings of a report expressing concerns about Bunge Global SA's stake in G3, a joint venture with the Saudi Agricultural & Livestock Investment Co. As part of the approval, Bunge Global SA will need to divest six grain elevators in Western Canada. Additionally, the company's minority stake in G3 will be controlled, with a commitment to invest at least CAD$520 million (US$362 million) in Canada over the next five years.