Published by Global Banking & Finance Review®
Posted on October 19, 2025
2 min readLast updated: January 21, 2026
Add as preferred source on Google
BayWa negotiates Cefetra's sale with new investors after PGFO's failed purchase, aiming to cut debt amid rising borrowing costs.
(Reuters) -German trading group BayWa said on Sunday it is discussing the possible sale of its grain and oilseed trading branch Cefetra with a new group of investors after Dutch company PGFO failed to secure the financing it needed to buy it.
BayWa had reached a deal with PGFO, a unit of First Dutch Group controlled by entrepreneur Peter Goedvolk in June to sell Cefetra for about 125 million euros ($145.74 million), as part of an effort by the German company to cut its debt burden.
BayWa said it is currently in negotiations with new investors who have stated that they are willing to take over the existing purchase agreement and to close the transaction, adding that the new investors plan to finance Cefetra's purchase price with equity capital.
The company has grappled with rising borrowing costs, forcing it to embark on a restructuring plan, including job cuts. It has said it remained confident of completing the restructuring by the end of 2028.
The Munich-based agricultural supplies trader earlier in October withdrew its 2025 earnings forecast, citing an ongoing review of the impact of a changed regulatory framework for the promotion of renewable energies in the United States.
($1 = 0.8577 euros)
(Reporting by Rishabh Jaiswal in Bengaluru; editing by Philippa Fletcher and Diane Craft)
Equity refers to the ownership value in an asset or business, representing the shareholders' stake after all liabilities are deducted.
Corporate strategy is the overarching plan that guides a company's direction and decision-making to achieve long-term goals.
Debt sustainability refers to a country's ability to manage its debt levels without requiring debt relief or accumulating additional debt.
Investment is the allocation of resources, usually money, to generate income or profit over time.
A financial community consists of individuals and organizations that engage in financial activities, including investing, lending, and trading.
Explore more articles in the Finance category
