COFCO to take 51% stake in Noble Agri for $1.5b

State-owned China National Cereals, Oils and Foodstuffs Corp (COFCO) said on Wednesday it will pay $1.5 billion in cash for a 51 percent stake in the agribusiness operations of Hong Kong-based Noble Group Ltd, the second big move by China's largest food trader within two months.

The deal is part of COFCO's drive to help feed the nation's ravenous demand for grain, oil and other farm products.

COFCO will acquire the stake in Noble Agri Ltd from Noble Group, a global supply chain manager of agricultural and energy products, metals and minerals that is based in Hong Kong.