European Commission approves Bunge-Viterra merger with conditions

The European Commission has cleared US-headquartered Bunge’s acquisition of Dutch company Viterra after the parties agreed to divest Viterra’s oilseed businesses in Hungary and Poland.

“The Commission concluded that the transaction, as modified by the commitments, would no longer raise competition concerns,” states a European Commission press release.

After both companies announced their intention to create an agri-trading conglomerate worth $34 billion (€31.1B) last year, EU officials raised concerns as they are active participants in the region’s supply chain.

The Commission admitted that the acquisition could reduce competition in the markets for oilseed and related products used for animal consumption and result in a “considerable concentration of oilseed processing capacity in Central Europe, with potential negative effects vis-à-vis farmers and downstream customers.”

In its 2024 outlook, Viterra highlighted that both companies will play “a leading role” in the agriculture industry’s future, “further developing fully traceable, sustainable supply chains and carbon-neutral operations while creating a strong growth platform for each of our core businesses.”