Kepler Weber Receives R$11 Per Share Business Combination Proposal from A-AG Holdco
Kepler Weber received a premium business combination offer at R$11 per share from A-AG Holdco, entering a 90-day exclusivity period to evaluate this strategic grain storage merger in Brazil.
- • A-AG Holdco proposed acquiring Kepler Weber at R$11 per share, a 48.3% premium.
- • Kepler granted a 90-day exclusivity to GPT for transaction evaluation and negotiation.
- • The merger aims to create a leading Brazilian grain storage multinational combining Kepler's 35% and GSI’s 7% market shares.
- • Brazil’s grain storage capacity covers only 70% of production, highlighting significant growth potential.
Key details
Kepler Weber announced on November 10, 2025, that it received a business combination proposal from A-AG Holdco, operating under the name Grain & Protein Technologies (GPT), offering an indicative price of R$11 per share. This offer represents a substantial premium of 48.3% over Kepler Weber's volume-weighted average share price in the last 60 days. While the proposal showcases significant strategic potential, no binding agreement has yet been finalized between the parties.
On November 4, Kepler Weber granted GPT a 90-day exclusivity period to evaluate, negotiate, and document the potential transaction. A-AG Holdco operates through Grain Systems (GSI), an American company controlled by private equity fund American Industrial Partners (AIP). GSI was acquired from AGCO in 2024 for $700 million and has been actively expanding its presence in Brazil's grain storage industry.
The proposed merger aims to create a leading multinational in grain storage within Brazil by combining Kepler's approximately 35% market share with GSI's 7%, potentially doubling GSI's market share in five years. Brazil faces a structural grain storage deficit, with only 70% of its annual production capacity covered, compared to over 100% in the United States. Grain production in Brazil has grown by 6% annually between 2016 and 2024, while storage capacity only rose by 2.5%, a gap that the merged entity could address.
Currently valued at R$1.64 billion (around $303 million), Kepler trades at six times its estimated EBITDA for 2026, below historical sector multiples. According to Citi analysts, GSI, as a private equity-controlled entity, could seek to take Kepler private initially, with a potential long-term public offering. However, no immediate plans for an IPO have been confirmed.
This deal would result in a stronger competitive force in Brazil's agricultural silo market, where GSI already competes globally with companies like Ag Growth International and Brock Grain Systems. The merger could significantly impact Brazil’s agribusiness infrastructure as demand for grain storage increases amid production growth.
This article was synthesized and translated from native language sources to provide English-speaking readers with local perspectives.