SAO PAULO (Reuters) - Brazilian soy protein maker Selecta said its owners had sold a 90 percent stake to South Korea’s CJ CheilJedang Corp (097950.KS) for 450 million reais ($143 million).
CJ Chief Executive Officer Chul Ha Kim on Friday will host an event in Goiania, where Selecta is based, to provide additional details on its investment plans for Brazil.
Chile’s Corpesca SA PES.SN sold its 60 percent stake, according to a statement from Selecta, one of the world’s largest producers of soy protein concentrate, which is used to produce animal feed.
Minority shareholders also agreed to sell 30 percent of the company, which reports $360 million in annual revenue.
Brazil’s agricultural sector has been a bright spot for an economy recovering from a brutal recession.
Selecta said its name would change to CJ Selecta and that CJ had the option to acquire the remaining 10 percent stake in the next two years.
The contract marks CJ’s debut in Brazil’s soy protein concentrate industry, where it already runs logistics, soy trading and bioscience businesses, Selecta said.
The company, whose current soy processing capacity is 700,000 tonnes, said it expected to ramp up production by 50 percent with investments promised by the new owner.
Reporting by Ana Mano; Editing by Lisa Von Ahn