Deals this week: Beston Global Food Company, Valley Processing, Wellard


Beston Global Food Company has sold its dairy farm in Wellington, Australia, to B.-d. Farm Paris Creek, with the aim of arranging funds for expanding its pure diaries operations.

Beston Global received an A$2m ($1.5m) consideration for the transaction.

Beston manufactures dairy, meat and poultry products, whereas B.-d. Farm Paris Creek produces biodynamic milk and yoghurt.

HEXPOL has agreed to acquire Valley Processing’s business for $44m in cash by this month.

Based in Sweden, HEXPOL is a rubber compounds manufacturer, whereas Valley Processing is an American juice producer and supplier.

Australian livestock distributor Wellard intends to raise A$6m ($4.58m) through private placement of shares and $20m through convertible notes issue in another private placement.

"Beston Global received an A$2m ($1.5m) consideration for the transaction."

The private placement of shares will include 25 million new shares priced at A$0.24 ($0.18) a share.

The company has concurrently announced an agreement to raise A$19.7m ($15.02m) through an issue of 106.25 million shares priced at A$0.185 ($0.14) a share in a non-renounceable pro rata entitlement offer.

The proceeds from all the transactions are intended to be used to fund the remaining 50% acquisition of Wellao Agriculture (China) and for working capital purposes.