Olam sells stake in packaged food operations for US$187.5 million

Singapore commodities firm Olam International has agreed to sell a 25 per cent stake in its packaged foods operations to Japanese instant noodle maker Sanyo Foods for US$187.5 million.

Subject to a definitive agreement and closing conditions, the deal is aimed at expanding its distribution network in sub-Saharan Africa, they said in a joint statement to the Singapore Exchange on Monday.

The deal is expected to be done by Olam's second fiscal quarter ending Dec 31.