US Sugar has reached an agreement to buy the business and assets of its local rival Imperial Sugar from commodities trader Louis Dreyfus Company, reported Reuters.
Imperial Sugar operates a refinery at Port Wentworth in Savannah, Georgia, and a sugar transfer and liquefaction facility in Ludlow, Kentucky. It was bought by Louis Dreyfus in 2012 for US$78 million.
US Sugar farms 200,000 acres (80,940 hectares) of sugar cane and operates a large milling and refining installation in Clewiston, Florida.
The company expects synergy gains from the combination with Imperial Sugar and looks to expand its share in the US market of production and sales.
Louis Dreyfus stated the sale will allow it to concentrate on its global sugar trading business. The company recently announced another deal to sell a sugar production business.
