IHC, Gilinski complete takeover of Nutresa

Nutresa has a 53.7% market share, one of the largest players in the food industry in Latin America with direct operations in 17 countries and has been recognized as the world's most sustainable food company according to the 2021 Dow Jones Sustainability World Index.

The transaction marks the closing of a first of its kind series of unsolicited takeover bids in Colombia launched by IHC and Grupo Gilinski, and which is subject to corporate and regulatory approvals among several jurisdictions. With the deal, IHC and Grupo Gilinski will take control over Nutresa by having an 87% participation in the company.

At the same time, Argos and Sura will cease to be shareholders in Nutresa and, accordingly, Nutresa will cease to hold shares in Sura and Argos, ending more than 40 years of integration.

The settlement agreement puts an end to a series of controversies among the parties.

The Colombian parties, Grupo Sura, Grupo Argos, Grupo Nutresa and Grupo Gilinksi are among the top 10 largest conglomerates in Colombia, and the first three are listed in the Colombian stock exchange.

IHC is an Abu Dhabi-based holding company with a market capitalization of more than US$200billion, total assets of more than $62 billion and revenues of more than $13 billion in 2022, making it one of the most valuable holding companies in the Middle East.

Colombian law firm Mendoza Abogados advised IHC Capital Holding LLC on the transaction, and which, the firm said, required “cutting-edge legal solutions subject to future approvals from Colombian authorities”.

This transaction, when consummated, will be the largest transaction in Colombian business history.

Mendoza’s team advising IHC was led by partner Mateo Mendoza, with senior associates Lina Londoño and Christina Burn, and associates Luis Tolosa, Daniel Restrepo, Santago Cañas and Daniel Vargas.

IHC’s in-house attorney was head of legal Daud Bin Farooq, while Grupo Nutresa’s in-house team comprised Jairo González Gómez and Laura Jaramillo, while the latter company was represented by law firm Posse Herrera Ruiz.