Tether, the issuer behind the $144 billion stablecoin USDT, has increased its investment in Latin American agriculture company Adecoagro (AGRO).
The offer, priced at $12.41 per share and contingent on specific closing conditions, aims to elevate Tether’s ownership in Adecoagro from 51% to 70%. This was announced on Thursday.
In response to the news, AGRO shares surged over 7% to $11.95 in pre-market trading.
Adecoagro operates within the sugar, ethanol, dairy, and crop sectors across Argentina, Brazil, and Uruguay. The company manages 210,400 hectares of farmland along with various industrial facilities in these regions.
Its market capitalization stands at just below $1.12 billion.
Tether perceives its investment in Adecoagro as a move towards securing assets in land, which complements its existing holdings in bitcoin (BTC) and gold.
“This investment is in line with Tether’s overarching strategy to support infrastructure, technology, and businesses that foster economic freedom and resilience,” stated Tether CEO Paolo Ardoino in the announcement on Thursday.
In addition, Tether is broadening its footprint in the entertainment sector, acquiring a 30.4% stake in the Italian media firm Be Water for 10 million euros ($10.8 million).
This follows Tether’s recent announcement of a minority investment in Ardoino’s preferred soccer team, Juventus FC, one of Italy’s premier soccer clubs.