Cargill to divest petroleum business to Macquarie Group
American conglomerate Cargill has agreed to divest its petroleum business to Australian investment bank Macquarie Group for an undisclosed price.
With a presence in the crude and products markets across the world, Cargill Petroleum maintains offices in Geneva, Minneapolis, Houston, Singapore and Shanghai.
Cargill energy, transportation and metals president David Dines said: “Macquarie is acquiring a petroleum business with a strong team and track record of success.
“With Macquarie’s strategic focus and commitment to energy and commodities, we are certain this talented team will excel in its organization.”
Macquarie’s acquisition is likely to be completed later this year.
Cargill stated that it will continue its operations in the energy segment. The American group’s financial risk management business provides hedging strategies that use derivatives in petroleum, petroleum-based products, petrochemicals, polymers and olefins.
Apart from that, the business also offers strategies related to natural gas, power and over 60 agriculture and metals commodities.
Macquarie Group energy markets global head Nick O’Kane said: “Cargill Petroleum consists of a very experienced team of oil industry professionals. This acquisition represents an exciting step for our business, bringing greater reach to the Macquarie platform and positioning us for continued growth.”
Macquarie has operations in the energy and commodities segments. In late January, the global financial firm agreed to acquire 50% ownership stake in Formosa 1, a Taiwanese offshore wind project from Swancor Renewable.
Danish firm Dong Energy has a stake of 35% in the same project.
Macquarie has presence in natural gas, oil, LNG, power and other energy markets worldwide.