Adecoagro S.A. (NYSE: AGRO), a prominent sustainable production company in South America, announced on February 18, that its Board of Directors received an unsolicited non-binding acquisition proposal from Tether Investments S.A. de C.V.
The proposal, dated February 14, 2025, offers to acquire all outstanding common shares of Adecoagro at a price of $12.41 per share, which would result in Tether holding a controlling interest of 51% in the company.
Per the announcement, Tether currently holds approximately 19.4% of Adecoagro’s outstanding shares, according to its last public filing on Schedule 13D dated November 14, 2024.
Following the receipt of the proposal, the Board convened on February 16, to evaluate the terms and conditions presented by Tether.
Board Evaluation and Next Steps
The Board of Directors has decided to engage legal and financial advisors to assist in assessing the proposal’s implications for all shareholders and the company as a whole.
Meanwhile, shareholders are not required to take any action at this time while the Board conducts its evaluation.
Notedly, this unsolicited offer comes as Adecoagro continues to operate across key agricultural regions in Argentina, Brazil, and Uruguay.
Significantly, the company manages approximately 210.4 thousand hectares of farmland and produces over 2.8 million tons of agricultural products annually, along with generating over 1 million MWh of renewable electricity.
Context of the Proposal
Tether’s interest in acquiring a majority stake in Adecoagro reflects a growing trend where cryptocurrency-related entities seek to diversify their investments into traditional sectors such as agriculture. This move could potentially enhance Tether’s portfolio by integrating sustainable agricultural practices with its existing financial services.
The proposal raises questions about the future direction of Adecoagro and how it might align with Tether’s strategic goals. For context, the outcome of this acquisition proposal could significantly impact its operational strategies and market positioning.
