Key Takeaways
- Limagrain is in exclusive discussions with ADQ for a 35% minority investment in Limagrain Vegetable Seeds (LVS)
- The potential partnership supports the company’s “Ambition 2030” roadmap to grow its seed business sustainably
- A joint R&D venture with ADQ’s Silal is planned to focus on desert-adapted vegetable genetics
- The deal would not alter the governance of Limagrain Group or its cooperative model
- Transaction is subject to employee consultations and regulatory approvals
Strategic Investment Proposed for Limagrain’s Vegetable Seeds Business
Limagrain, an international seed group and agricultural cooperative, has entered into exclusive discussions with ADQ, a UAE-based sovereign investment group, for a potential 35% minority stake in its Vegetable Seeds business. If completed, the transaction would mark a significant strategic step in Limagrain’s goal to expand its global presence in the vegetable seed market.
The transaction would consolidate Limagrain’s vegetable seed activities under a newly formed entity, Limagrain Vegetable Seeds (LVS), in which Vilmorin & Cie (a Limagrain subsidiary) would retain a 65% majority holding.
Support for Limagrain’s “Ambition 2030” and Global Expansion
Focus on Innovation and Sustainability
The contemplated partnership aligns with Limagrain’s “Ambition 2030” strategy, aimed at fostering a more innovative and sustainable seed business. According to Limagrain, the investment would support accelerated growth in its Vegetable Seeds division and strengthen its position in global markets.
In addition to financial support, the collaboration includes a planned Research & Development partnership between LVS and Silal, an ADQ portfolio company. The focus of the R&D effort will be on developing vegetable genetics suited to desert conditions, including resistance to heat, drought, and soil salinity.
Joint Venture to Address Arid Agriculture Challenges
The proposed R&D venture would concentrate on creating resilient vegetable crop varieties for arid and semi-arid regions, particularly in the Gulf. The initiative is expected to leverage Silal’s agrifood infrastructure and Limagrain’s scientific expertise, with the aim of supporting sustainable food systems and crop adaptation in challenging environments.
Both companies stated that the collaboration aligns with broader goals around food security and climate-resilient agriculture, with potential benefits for regions facing environmental constraints.
Governance and Organizational Structure
Under the proposed arrangement, ADQ would hold a minority share in the LVS entity and would be represented on the Board of Directors proportionally to its stake. Governance at Limagrain Group and the Cooperative would remain unchanged, with Pierre-Antoine Rigaud as Chairman and Rémi Bastien as CEO of the LVS entity.
Limagrain emphasized that the project is consistent with its approach to maintaining cooperative control while engaging in selective strategic partnerships.
Next Steps and Approvals
The transaction is still subject to several conditions, including employee consultation processes and regulatory approvals. If finalized, the partnership would include the Business Units Hazera, HM.CLAUSE, and Vilmorin-Mikado, which together employ over 4,000 people in 35 countries and generated €796 million in revenue.
By involving ADQ as a minority investor, Limagrain seeks to position itself for continued leadership in the global vegetable seed sector, while advancing its goals in innovation, sustainability, and geographic diversification.
