Adecoagro and Tether Investments Announce Strategic Partnership
LUXEMBOURG, March 27, 2025
Adecoagro S.A. (NYSE: AGRO) (“Adecoagro” or the “Company”), a leading sustainable production company in South America, and Tether Investments S.A. have announced a strategic partnership to further enhance Adecoagro’s growth and sustainability initiatives.
Details of the Partnership
Under the terms of the agreement, Tether Investments will invest $150 million in Adecoagro through a private placement of newly issued convertible senior notes due 2028. The proceeds from the investment will be used by Adecoagro to fund its ongoing capital expenditures and working capital needs, as well as to repay existing indebtedness.
Benefits for Adecoagro
Strengthened Balance Sheet: The investment from Tether Investments will help Adecoagro improve its balance sheet, providing the Company with greater financial flexibility to pursue its growth strategies.
Sustainability Initiatives: Adecoagro has been committed to sustainable production practices and the partnership with Tether Investments will further support these initiatives. The proceeds from the investment will be used to fund the Company’s ongoing capital expenditures related to its sugarcane and soybean operations, including the construction of new mills and the expansion of its logistics infrastructure.
Benefits for Tether Investments
Diversified Investment Portfolio: Tether Investments sees the partnership with Adecoagro as an opportunity to diversify its investment portfolio and gain exposure to the growing agricultural sector in South America.
Long-Term Growth Prospects: Adecoagro’s strong growth prospects, combined with its commitment to sustainability and social responsibility, make it an attractive investment opportunity for Tether Investments.
Impact on Consumers
The partnership between Adecoagro and Tether Investments is expected to have a positive impact on consumers, as the investment will support the Company’s ongoing efforts to improve the sustainability and efficiency of its operations. This, in turn, will help to ensure a reliable and high-quality supply of agricultural products, while also reducing the environmental footprint of production.
Impact on the World
The strategic partnership between Adecoagro and Tether Investments is a significant step forward in the global effort to promote sustainable agriculture and reduce the environmental impact of production. By investing in a leading sustainable production company in South America, Tether Investments is sending a strong signal to the market that sustainability is a key consideration in investment decisions.
Moreover, the partnership will help to support the long-term growth of the agricultural sector in South America, which is expected to play an increasingly important role in global food production as the world population continues to grow.
Conclusion
The strategic partnership between Adecoagro and Tether Investments is a win-win situation for both parties, providing Adecoagro with the financial resources to pursue its growth strategies and further enhance its sustainability initiatives, while also offering Tether Investments an attractive investment opportunity with long-term growth prospects.
The partnership is also expected to have a positive impact on consumers and the world at large, by supporting the production of high-quality, sustainably-produced agricultural products and contributing to the long-term growth of the agricultural sector in South America.
- Adecoagro S.A. announces strategic partnership with Tether Investments S.A.
- Tether Investments to invest $150 million in Adecoagro through private placement.
- Proceeds to be used for capital expenditures, working capital needs, and debt repayment.
- Partnership to strengthen Adecoagro’s balance sheet and support sustainability initiatives.
- Tether Investments to diversify investment portfolio and gain exposure to agricultural sector.
- Positive impact on consumers and the world through improved sustainability and long-term growth prospects.
