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ARTICLE · 13 DECEMBER 2013

The ADM-GrainCorp takeover proposal decision: a fact-based commentary

While some aspects of the ADM takeover process were noteworthy, much of it was simply business as usual for the FIRB.

AustraliaGovernment, Public Sector

Key Points:

While some aspects of the ADM takeover process were noteworthy, much of it was simply business as usual for FIRB.

There has been much media comment on the Treasurer's rejection of the Archer Daniels Midland (ADM) takeover proposal for GrainCorp and the surrounding political and foreign relations dynamics. What can tend to be lost in the noise of generally self-serving public statements and responses to what is a superficially extraordinary decision is an appreciation of the ordinary Foreign Investment Review Board processes and the attendant legal considerations. With a keen desire to avoid the politics of the decision, here are some fact-based observations on the ADM takeover proposal and its rejection on national interest grounds by the Australian Treasurer.

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