BM Argentina advises on food and beverage JV

Backer McKenzie Argentina has advised Arcor S.A.I.C on the launch of a Joint Venture with Ingredion

Grupo Arcor, the leading food company of Argentina, and Ingredion Incorporated, a leading global ingredient solutions provider to the food and beverage industry, have launched a Joint Venture that will cover Argentina, Chile, and Uruguay. This international Joint Venture will leverage manufacturing expertise, global go-to-market capabilities, and food and beverage industry experience to create and scale innovative ingredient solutions.

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 – Argentina) 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).

As part of this transaction, the Argentine law firm has advised on the execution of a contribution and purchase agreement, a shareholders’ agreement, service level agreements, and a license agreement.

Baker McKenzie´s team was led by Corporate/ M&A partners Gustavo Boruchowicz (pictured first right), Martín Roth (pictured centre) , and Francisco Fernández Rostello (pictured left). Other advisers included Mercedes Masjuan, Roberto Grane, Felipe Graham, Alejandra Bugna, Santiago Maqueda, Candelaria Munilla and Cecilia Maspero.