Tether, the issuer of stablecoin USDT, has acquired a 9.8% stake in Latin America’s agricultural powerhouse Adecoagro for $100 million.
Adecoagro is a leading company in the agricultural sector in Latin America, particularly in Argentina and Brazil. The company is one of the largest milk producers in Argentina and manages more than 193,000 hectares of sugar cane crops in Brazil, from which it produces refined sugar and ethanol.
Tether's purchase was disclosed in a Schedule 13D filing in which the company stated its intention to hold the shares for investment purposes. However, the filing also noted that Tether may adjust its stake in Adecoagro based on a variety of factors, including stock price, market conditions and developments within the company.
Tether's filing hinted at potential future actions that could include offers for further acquisitions, sales, or even extraordinary corporate transactions involving Adecoagro, such as a merger or reorganization. The company said it will continue to evaluate its investment in Adecoagro and consider strategic alternatives that could increase the value of its assets.
The investment aligns with Tether’s broader strategy to diversify its holdings, which have traditionally been concentrated in U.S. Treasury bonds and other cash equivalents. By entering the agricultural sector, Tether is positioning itself to benefit from the stability and growth potential of key sectors like food production and renewable energy.
*This is not investment advice.
