Spain's government would be willing not to oppose Italian group Coricelli taking control of Deoleo, Bloomberg reports, a shift from the preference the government had previously expressed for the company, the world's largest olive oil bottler, to end up in Spanish hands.
Coricelli currently leads the bidding for Deoleo with an offer of 500 million euros, submitted on August 15, ahead of the 470 million offered by Andalusian cooperative Dcoop and the 460 million from Acesur. The Italian group has structured its bid through Farmers Elite Global, the Coricelli family's holding company, domiciled in Seville since 2015 and the parent of the group's subsidiaries in Spain, Italy and the United States.
The Ministry of Agriculture, Fisheries and Food, led by Luis Planas, has acknowledged it is closely following Deoleo's sale process as a matter of concern for the agri-food sector, given Spain's position as the world's top olive oil producer. The government has said on several occasions that its position favors a Spanish company as the eventual buyer, always within the existing legal framework and respecting market conditions.
Coricelli's corporate structure, however, with its holding company based in Seville, complicates any attempt by Spanish authorities to formally block a deal that, in practice, is presented as led by a Spain based company, even though its ownership and origin are Italian. Deoleo also has a significant presence in the US market, adding another strategic factor to the deal beyond the dispute between Spanish and Italian capital.
The sale of Deoleo, owner of brands including Carbonell, Koipe and Bertolli, could close in the coming weeks, with Coricelli holding an exclusive negotiating period to try to finalize the deal, while Spanish suitors have not ruled out staying in the race should the agreement with the Italian group fail to materialize.