A proposed merger between Glencore’s Viterra and Bunge Ltd. has the support of two of Canada’s largest pension funds, according to a person close to the matter.

The source, according to Bloomberg News, noted that the Canada Pension Plan Investment Board and the British Columbia Investment Management Corp. are willing to swap their combined 49.98 per cent stake in Viterra for investments in the merged entity.

If the merger goes through, it would create a $25-billion agricultural trading giant.

It’s not the first time Bunge has been through a similar process; in 2017, Glencore approached Bunge about a friendly takeover, but no deal was made.