Arcor S.A.I.C.’s $300 Million Joint Venture with Ingredion Inc.

Bruchou, Fernández Madero & Lombardi and Baker & McKenzie advised on the transaction

Grupo Arcor, the leading food company of Argentina, and Ingredion Incorporated (NYSE: INGR), a leading global ingredient solutions provider to the food and beverage industry, have signed an agreement to create a joint venture that will leverage the two companies’ manufacturing expertise, complementary geographic footprints and commercial capabilities to broaden food and beverage ingredient offerings to customers in Argentina, Chile and Uruguay. Arcor and Ingredion will hold a 51% and 49% stake, respectively. The joint venture will have a combined turnover of more than US$ 300 million.

Arcor will transfer its ingredient operations to the joint venture, which includes one manufacturing facility in Lules (province of Tucumán) and two manufacturing facilities in the Industrial Complex Arroyito (province of Córdoba).

Ingredion will transfer its Argentina, Chile and Uruguay operations to the joint venture, which includes two manufacturing facilities in the districts of Chacabuco and Baradero (province of Buenos Aires).

The manufacturing facilities produce value-added ingredients, such as glucose syrups, maltose, fructose, starch and maltodextrins that are essential to the food, beverage and pharmaceutical industries.

The joint venture will be managed by a jointly appointed team of executives who will be responsible for integrating the combined operations to market, sell and manufacture ingredients within Argentina, Chile and Uruguay and to further optimize the manufacturing network and support functions to create incremental shareholder value.

Bruchou, Fernández Madero & Lombardi advised Arcor with  Mariano Luchetti (Picture), Nicolás Dulce, Hernán Alal, David Kahansky and Facundo Palczikowski.

Baker & McKenzie advised Ingredion with Gustavo Boruchowicz, Francisco Fernández Rostello, Martín Roth, Mercedes Masjuan, Roberto Grane, Felipe Graham, Alejandra Bugna, Santiago Maqueda, Candelaria Munilla and Cecilia Maspero.

Involved fees earner: Gustavo Boruchowicz – Baker McKenzie; Alejandra Verónica Bugna – Baker McKenzie; Francisco José Fernández Rostello – Baker McKenzie; Felipe Graham – Baker McKenzie; Roberto Grané – Baker McKenzie; Santiago Maqueda – Baker McKenzie; Mercedes Masjuan – Baker McKenzie; Cecilia Maspero – Baker McKenzie; Candelaria Munilla – Baker McKenzie; Martín Roth – Baker McKenzie; Hernán Alal – Bruchou, Ferna?ndez Madero & Lombardi; Nicolás Dulce – Bruchou, Ferna?ndez Madero & Lombardi; David Kahansky – Bruchou, Ferna?ndez Madero & Lombardi; Mariano Luchetti – Bruchou, Ferna?ndez Madero & Lombardi; Facundo Palczikowski – Bruchou, Ferna?ndez Madero & Lombardi;

Law Firms: Baker McKenzie; Bruchou, Ferna?ndez Madero & Lombardi;

Clients: Arcor S.A.I.C.; Ingredion;

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