Decatur, Ill.-based Archer Daniels Midland Co. (ADM) has announced its intention to make a cash offer to acquire the remaining outstanding common shares of GrainCorp Ltd. for A$12.20 per share, or about $2.3 billion, with a combination of cash flow and debt. The total transaction is valued at about A$3.4 billion, including debt currently outstanding at GrainCorp. We are affirming all ratings on ADM, including the 'A' corporate credit rating, and removing all ratings from CreditWatch, where they were originally placed on Oct. 19, 2012, with negative implications following the announcement that ADM had acquired an approximate 15% ownership interest in GrainCorp. The outlook is negative, reflecting our expectations for continued weaker credit measures once the transaction is complete (likely
