Tether boosts stake in Adecoagro, Latin American agribusiness, to 70%

Adecoagro S.A., a premier sustainable production firm in South America, has struck a deal with Tether.

To be more precise, the agreement is with Tether Investments S.A. de C.V., which is part of the Tether Group and includes the issuer of USDT (USDT), the world's largest stablecoin.

According to this agreement, Tether will launch a tender offer to acquire up to 49,596,510 common shares of Adecoagro at a price of $12.41 per share, with the goal of raising its ownership to around 70% of the company's outstanding shares.

The completion of the offer is subject to certain conditions, such as obtaining at least 51% ownership on a fully diluted basis.

Tether aims to assist Adecoagro in its mission to produce food and renewable energy efficiently and sustainably across Argentina, Brazil, and Uruguay.

The transaction is anticipated to provide Adecoagro with the necessary financial backing to pursue bold growth strategies and further its commitment to sustainability and innovation in the agro-industrial sector.

Tether’s unsolicited proposal

In February, Tether presented an unsolicited, non-binding proposal to acquire a 51% stake in Adecoagro through a tender offer at $12.41 per share. At that time, Tether held approximately 19.4% of Adecoagro's outstanding shares.

The proposal was submitted on February 14, 2025. Two days later, Adecoagro's board convened and decided to consult legal and financial advisors to assess the offer.

Farming and energy production

Adecoagro operates in Argentina, Brazil, and Uruguay, engaging in farming, land transformation, and sugar, ethanol, and energy production.

The company manages 210,400 hectares of agricultural land and several industrial facilities, producing over 2.8 million tons of agricultural products and generating over 1 million MWh of renewable electricity each year.