Glencore plc has entered into a definitive agreement with Canada’s Pension Plan Investment Board (CPPIB) for the purchase by a wholly owned subsidiary of CPPIB of a 40% equity interest in Glencore Agricultural Products, for an aggregate consideration of $2.5 billion in cash.

Glencore Agri is a vertically integrated business focused on the global agricultural products value chain. Built around a network of high-quality origination and logistics assets, comprising more than 200 storage facilities, 31 processing facilities and 23 ports in strategic locations around the world, Glencore Agri is well-positioned in key export regions and in the trade of major agricultural commodities including grains, oilseeds products, rice, sugar, pulses and cotton. In the year up to December 31, 2015, Glencore Agri reported earnings before interest and tax of US$524 million, and at the end of December 2015 had gross assets of US$10.12 billion.