GrainCorp takes stake in Egyptian mill
2014-07-10 12:20:05
Grains marketer GrainCorp has bought a 10 per cent stake in one of its largest customers, an Egyptian flour miller.
GrainCorp paid $10 million for the stake in Five Star Flour Mills and will appoint a director to the Egyptian firm's board.
Executive chairman Don Taylor said GrainCorp has been talking for several years with Five Star about strengthening their relationship.
"GrainCorp's stake in Five Star is in line with our stated strategy of providing a direct connection between Australian grain growers and the processor of that grain," he said in a statement on Thursday.
GrainCorp's shares were flat at $8.46 at 1056 AEST.