Glencore reportedly in talks to sell further 9.9% stake in agricultural unit

Glencore is reportedly in talks to sell a further 9.9% stake in its agricultural unit, valued at around $625m.

Reuters cited sources as saying the commodity trader and miner was negotiating with bidders who missed out on the 40% sold to Canada Pension Plan Investment Board.

It was understood that bidders include a different Canadian pension fund, state-backed Saudi Agricultural and Livestock Investment Co (SALIC) and Qatar's sovereign wealth fund.

A source told Reuters: “Negotiations are ongoing ... people who lost out are still trying to get on board, but Glencore will struggle to get more money for it.”

Glencore announced back in September that it was planning to sell a minority stake in its agricultural unit after shareholder pressure for the company to cut debt sparked a range of new measures including asset sales, reducing capital expenditure, suspending dividend payments and raising $2.5bn of new equity capital.

At 1140 BST, Glencore shares were down 3.3% to 140.70p.