Cargill, a US-based agribusiness company, is in talks to acquire Archer Daniels Midland's (ADM) cocoa business, a deal which paves the way for what is reportedly the second largest takeover this year in the cocoa industry.
An official announcement on the deal could be made within days, reported Reuters citing sources familiar with the matter.
The terms of the deal were not clear; however, some sources earlier this year valued the unit at $2bn.
ADM operates cocoa processing facilities in the US, Ivory Coast, Ghana, Singapore and Brazil.
Cargill is betting on increasing demand for chocolate in emerging markets through a series of acquisitions.
In 2011, it acquired German cocoa grinder Kakao Verarbeitung Berlin. In May this year, it started constructing a $100m cocoa processing facility in Indonesia.
