(Reuters) -German trading group BayWa said on Sunday it is discussing the possible sale of its grain and oilseed trading branch Cefetra with a new group of investors after Dutch company PGFO failed to secure the financing it needed to buy it.
BayWa had reached a deal with PGFO, a unit of First Dutch Group controlled by entrepreneur Peter Goedvolk in June to sell Cefetra for about 125 million euros ($145.74 million), as part of an effort by the German company to cut its debt burden.
BayWa said it is currently in negotiations with new investors who have stated that they are willing to take over the existing purchase agreement and to close the transaction, adding that the new investors plan to finance Cefetra’s purchase price with equity capital.
The company has grappled with rising borrowing costs, forcing it to embark on a restructuring plan, including job cuts. It has said it remained confident of completing the restructuring by the end of 2028.
The Munich-based agricultural supplies trader earlier in October withdrew its 2025 earnings forecast, citing an ongoing review of the impact of a changed regulatory framework for the promotion of renewable energies in the United States.
($1 = 0.8577 euros)
(Reporting by Rishabh Jaiswal in Bengaluru; editing by Philippa Fletcher and Diane Craft)
