Olam restructures into two new operating groups

This will allow investors to participate in two diverse themes via carve-outs or IPO listing.

Food and agribusiness firm Olam is reorganising into two operating groups focusing on food ingredients and global agribusiness, according to an SGX filing.

This is to simplify the firm’s portfolio and enable investors to participate in two diverse themes through potential carve-outs or IPO listing.

Olam Food Ingredients (OFI) will handle Olam’s cocoa, coffee, edible nuts, spices, and dairy businesses with its own farms, farm-gate origination and manufacturing facilities. It will be led by A. Shekhar as chief executive officer, and who has already stepped down from his duties as Olam’s group chief operating officer.

Meanwhile, Olam Global Agri (OGA) will include the firm’s grains and animal feed, edible oils, rice, cotton and commodity financial services businesses. Sunny Verghese will concurrently serve as CEO of both OGA and Olam.

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