Recent Chinese interest in Australian commodities continues at a cracking pace. China’s leading agrichemicals producer, Sinochem, has proposed a US$2.44bn takeover bid for all of Australia’s Nufarm issued ordinary shares. Moving to further globalise its farm chemical business, Sinochem will be hoping the deal gets approval from regulators in both China and Australia, Nufarm shareholders and the Australian court.

Blake Dawson’s Melbourne partner and recognised M&A expert, Marie McDonald, is leading the team advising Sinochem, while Arnold Bloch Leibler’s Jonathan Wenig is representing Sinochem. An exclusivity period ending on 3 December will allow Sinochem to conduct due diligence on the deal over a five-week period.

The Australian business is a world-leading crop protection company, and is being advised on the finance side by the Royal Bank of Scotland and UBS respectively. “Nufarm is a longstanding client of ABL and the firm has acted in a range of matters on its behalf,” Wenig said.

China’s Sinochem Group is a state-owned enterprise with core businesses in energy, agriculture, chemicals, finance and real estate. The company generates revenues of more than US$4bn.

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