Bottles of Spanish olive oil are on display for sale at a Carrefour supermarket in Spain.
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Spain’s Deoleo shares soared more than 20% on Wednesday afternoon as a takeover battle for the world’s largest olive oil bottling and distribution company intensified.
The stock move came amid reports that Spanish agri-food cooperative group Dcoop offered 470 million euros ($545 million) for Deoleo, taking the lead in a takeover race among multinationals including companies from Italy, France and Australia.
Spain’s El Economista newspaper reported on Wednesday that the sale had not yet been finalized, citing unnamed people familiar with the matter, but the sale was said to be in the final stages and was originally expected to close in September.
Once completed, the sale will create a new olive oil giant with a wide range of brands and a share of approximately 15% of national consumption, strengthening Spain’s leadership in this strategic sector.
The report shows that Dcoop is currently in pole position to secure the Deoreo acquisition, with leads including Italy’s Coricelli, Bonifice Ferraresi, Newrat Foods, France’s Les Sueurs (Avril) and Australia’s Cobram Estate Olive.
Mr. DeOreo declined to comment. A spokesperson for Dcoop did not respond to CNBC’s request for comment.
Deoreo shares were last up 20.5%, hitting a new 52-week high and the highest since March 2022.
Deoleo’s year-to-date stock price.
Spain is one of the world’s leading producers of olive oil, along with Italy and Greece, and sets the global price standard.
Prices for precious commodities are fluctuating dramatically from season to season, especially as challenges such as climate change, water scarcity, and pest and disease pressures continue.
But Deoreo, the maker of household olive oil brands such as Bertolli and Carbonell, recently told CNBC that the era of unprecedented volatility has given way to clearly stable market conditions.
