Bottles of Spanish olive oil are displayed for sale at a Carrefour supermarket in Spain.
Sopa Images | Lightrocket | Getty Images
Shares of Spain’s Deoleo jumped nearly 18% on Wednesday morning amid an intensifying takeover battle for the world’s largest olive oil bottler and marketer.
The stock move comes amid reports that Spanish agri-food cooperative group Dcoop has offered 470 million euros ($545 million) for Deoleo, taking the lead in a takeover battle that includes Italian, French and Australian firms.
The sale is not yet finalized, Spain’s El Economista newspaper reported, citing unnamed sources familiar with the matter, but it is said to be in its final phase, with a closing initially expected in September.
If completed, the sale would shore up Spain’s leadership in a strategic sector by creating a new olive oil giant that would encompass a range of brands and secure a roughly 15% share of national consumption.
Spokespeople for Dcoop and Deoleo were not immediately available to comment when contacted by CNBC.
Deoleo shares year-to-date.
Alongside Italy and Greece, Spain is one of the world’s leading producers of olive oil and a global reference for prices.
Prices of the precious commodity have swung dramatically from one season to the next, particularly as issues such as climate change, water scarcity and pest and disease pressures persist.
However, Deoleo —the maker of household olive oil brands such as Bertolli and Carbonell — recently told CNBC that a period of unprecedented volatility has unequivocally given way to more stable market conditions.
This is a breaking news story. Please refresh for updates.
