Bunge Ltd BG, along with Chevron Corp's CVX subsidiary Renewable Energy Group Inc., disclosed the acquisition of Argentina-based Chacraservicios S.r.l for an undisclosed term.
In particular, Bunge and Chevron bought Chacraservicios from the Italy-based Adamant Group.
Chacraservicios deals in cultivating Camelina Sativa, a cover crop with high oil content that benefits farmers, consumers, and the environment.
The acquisition will add a new oil source to Bunge and boost Chevron's global supply chains.
The buyout will aid both companies in catering to the increasing demand for lower-carbon renewable feedstocks.
"Across our business, our decision-making process includes a focus on carbon. Investing in this new oilseed crop is another step towards our goal of expanding lower carbon intensity feedstocks to help meet the growing demand for renewable fuels. As a leader in oilseed processing, we are pleased to bring innovative crop solutions to farmers and process it into sustainable solutions for consumers," said Fernando Candia, Bunge's Vice-President Carbon Solutions.
Last month, Bunge disclosed an agreement to acquire Glencore PLC's GLNCY Viterra Limited in a stock and cash transaction.
Price Action: BG shares are trading lower by 0.20% at $96.93 on the last check Wednesday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
