Olam (O32.SG) +1.2% at $2.63 following latest expansion via NZ$109.6 million ($107.2 million) purchase of rest of 18.45%-owned NZ Farming Systems Uruguay (NZS.SG) it doesn’t already own, according to Dow Jones.

Company, NZFSU’s largest investor, already has pledge from second largest shareholder, PGG Wrightson (PGW.NZ), to sell its 11.5% stake.

“The acquisition is in line with Olam’s inorganic growth strategy and upstream expansion,” says OCBC Investment Research, which has Buy call with $3.61 target.

Current gains accompanied by light volume, suggesting investors likely holding out for more details as Olam intends to review NZFSU’s strategy, capital needs in due course.

DBS Vickers, which has Buy call with $3.29 target, notes NZFSU has been under financial pressure since mid-2008, after recording successive annual net losses following purchase of land for dairy farms in Uruguay near height of dairy price boom in 2007. Resistance eyed at current July high of $2.67.