Olam buys Spanish coffee business, but drops bid to buy Brazilian sugar mill

Singapore-listed commodities supplier Olam International is continuing with its strategy of buying assets as part of its expansion plan

It announced today its second acquisition in less than a month, saying it had bought the coffee business of Seda Solubles in Spain for 52 million US dollars.

At the end of November, it said it had acquired Dehydro Foods, a processor of dehydrated onions and herbs in Egypt, for 30.8 million US dollars.

Olam, however, has abandoned its bid to acquire a sugar mill in Brazil after failing to agree on a price with the owners.

The company has bought more than 20 companies in the past four years, spending close to 2 billion US dollars

The latest purchases follow claims in recent weeks by short-seller Carson Block and his research firm Muddy Waters that Olam is at risk of failure due to insolvency.

The firm has denied such claims