Louis Dreyfus Commodities to Acquire Imperial Sugar

May 1, 2012
Sale price $203 million, plus debt assumption.

Louis Dreyfus Commodities LLC, Wilton, Conn., on May 1 announced it will acquire Imperial Sugar Co., Sugarland, Texas, for approximately $203 million, including the assumption of debt and pension liabilities.

The mechanism will be a cash tender offer and second step merger at $6.35 per share, a 57 percent premium to Imperial Sugar’s closing stock price the day before the announcement. The proposed transaction has been approved unanimously by Imperial Sugar’s board of directors.

“This is a compelling transaction that delivers significant value for our shareholders while offering financial stability and organizational resources to allow us to continue to meet the needs of our customers,” said John Sheptor, pres/CEO of Imperial Sugar.

Mikael Morn, CEO of Louis Dreyfus, added: “This transaction is an important step forward in our plan to grow and diversify our global sugar activities from sugar cane crushing and international sugar trading into sugar refining and distribution in major consumer markets.”

Closing is expected during the second quarter of 2012.

Louis Dreyfus Commodities and its subsidiaries have a highly diversified agricultural business in North America and operate in the cotton, grains, oilseeds, sugar, coffee and juice markets. The company has approximately 1,650 employees, six agricultural processing plants and more than 30 logistics assets including five grains/oilseeds export elevators, 10 interior grains/oilseeds elevators and 20 cotton warehouses.

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