OTTAWA (Reuters) - Canada’s industry ministry will review the C$6.1 billion ($6.2 billion) takeover of grain handler Viterra VT.TO by Glencore International (GLEN.L) and has been informed Glencore will file an application for approval soon, a government spokesman said on Tuesday.
Under Canada’s foreign investment law, any large acquisition of a Canadian company by a foreign investor is subject to a government review to determine whether it is of “net benefit” to the country.
“The investor has informed officials that an application will be filed soon,” said Michel Cimpaye, a spokesman for Industry Canada.
“The minister of industry only approves an application where he is satisfied that an investment is likely to be of net benefit to Canada,” he said.
Reporting By Louise Egan; Editing by Peter Galloway