Olam signs agreement to acquire SK Foods assets
June 24, 2009
by FoodBusinessNews.net Staff
SINGAPORE — Olam International has entered into an asset purchase agreement to purchase selected assets of SK Foods and subsidiary RHM Industrial/Specialty Foods in California.
The sale is being managed through the bankruptcy court and is expected to go up for a public auction on June 24. The results of the bidding are expected to be announced on June 25.
The purchase would further consolidate Olam’s presence in Californian agriculture by expanding the range of dehydrate products and services to its customer in the United States and other export markets. It also would give Olam the right to be a "stalking horse" and entitled to a break-up fee and reimbursement of its due diligence expenses if the court approves the sale of the assets to another purchaser for a higher or better price.