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- Mitsui & Co., Ltd.
Investor Relations Division - Contact form
- Mitsui & Co., Ltd.
Corporate Communications Division
Telephone: +81-80-5912-0321
Facsimile: +81-3-3285-9819 - Contact form
Main Contents
Mitsui & Co., Ltd. (“Mitsui”, head office: Tokyo, President and CEO: Kenichi Hori) decided on March 14 (Brazil time) to sell all of the farmland owned by AGRICOLA XINGU S.A. ("XSA"), a wholly owned subsidiary of XINGU AGRI AG ("XAAG"), which is a wholly owned subsidiary of Mitsui, and has signed a sale and purchase agreement with a wholly owned subsidiary of SLC Agrícola S.A. (“SLC”), a listed company in Brazil. Mitsui has also decided that, pending certain proceedings, both XAAG and XSA shall be dissolved and liquidated, and that XAAG will no longer be designated as a specified subsidiary*of Mitsui.
1. Overview of the owned farmland
| (1) Location | 1. Tabuleiro IV farmland, Bahia State 2. Minas Gerais farmland, Minas Gerais State |
|---|---|
| (2) Area | 1. 39,987ha 2. 7,835ha |
2. Overview of the sale and purchase agreement
| (1) Seller | AGRICOLA XINGU S.A. | ||
|---|---|---|---|
| (2) Assets to be sold / buyer |
1. Tabuleiro IV farmland / FAZENDA PALADINO EMPREENDIMENTOS AGRÍCOLAS LTDA (a farmland ownership company and wholly owned subsidiary of SLC) |
||
| (3) Sale price | 1. BRL 723 million (approx. JPY 18.8 billion) 2. BRL 190 million (approx. JPY 4.9 billion) (Converted at a rate of BRL/JPY 26) |
||
| (4) Agreement signing date | March 14, 2025 (Brazil time) | ||
3. Overview of the buyer
| (1) Name | SLC Agrícola S.A. | |
|---|---|---|
| (2) Location | Porto Alegre, RS, Brazil | |
| (3) Stock Exchange | Brazil, B3 S.A. | |
| (4) Description of business | Agriculture business | |
| (5) Major shareholder and ownership ratio | SLC Group：55.2% | |
| (6) Relationship between Mitsui and the said company | Capital relationship | None |
| Personnel relationship | None | |
| Business relationship | None | |
4. Overview of specified subsidiary to be dissolved
| (1) Name | XINGU AGRI AG | ||
|---|---|---|---|
| (2) Location | Zug, Switzerland | ||
| (3) Title and name of representative | Sergio Della Libra (CEO) | ||
| (4) Description of business | Investment in AGRICOLA XINGU S.A., a farmland leasing company | ||
| (5) Capital | CHF 326,485 thousand (approx. JPY 55,502 million converted at a rate of CHF/JPY 170) | ||
| (6) Date of establishment | September 20, 2006 | ||
| (7) Major shareholders and ownership ratio | Mitsui: 100% | ||
| (8) Relationship between Mitsui and the said company | Capital relationship | XAAG is 100% owned by Mitsui | |
| Personnel relationship | Mitsui appoints directors to XAAG | ||
| (9) Operating results and financial position of the said company for the last three years converted at a rate of BRL/JPY 26 (figures in millions) | |||
| Fiscal year ended | March 2022 | March 2023 | March 2024 |
| Total assets | BRL 2,459 JPY 63,930 |
BRL 2,296 JPY 59,696 |
BRL 2,747 JPY 71,420 |
| Total shareholder’s equity | BRL 1,837 JPY 47,763 |
BRL 1,960 JPY 50,953 |
BRL 2,418 JPY 62,866 |
| Net income | BRL 76 JPY 1,976 |
BRL ▲12 JPY ▲319 |
BRL 156 JPY 4,068 |
5. Outlook
It is planned that XAAG will be dissolved and liquidated after completing the required procedures, including approval from the relevant authorities. The impact on profit and loss of this sale and dissolution has been reflected in Mitsui’s forecast for the fiscal year ending March 2025 announced on February 4, 2025. However, the final decision on the recorded amount and timing will be made after careful examination.
*A subsidiary that meets any of the following threshold (Following Article 19, Paragraph 10 of the Cabinet Office Ordinance on Disclosure of Corporate Information)
1. Sales or purchases to the Company (the parent company) account for 10% or more of the Company (the parent company)'s purchases or sales.
2. Total equity are 30% or more of the net assets of the Company (parent company)
3. The amount of capital or investment is 10% or more of the capital of the Company (parent company)