La Coop fédérée purchases the assets of Cargill
Montreal, March 22nd, 2018 – La Coop fédérée, through its Agri-business division, announced today that it had signed an agreement to purchase the grain and crop production input assets of Ontario firm Cargill, including its South West Ag Partner property.
The sale includes the assets of 13 grain and crop production input establishments and 50% of the shares held by Cargill in South West Ag Partners, a cooperative that includes 9 grain and crop production input establishments in Ontario.
Adding these establishments will complement the existing operations of La Coop fédérée’s agricultural division in Ontario, which already include four fertilizer terminals, 16 local retail cooperatives and a grain trade group.
The conditions of the sale have not been disclosed. The transaction will be finalized when the definitive agreements and required regulatory examinations are completed, which is scheduled for the second quarter of the calendar year.
“This transaction is part of La Coop fédérée and its Agri-business division’s sustainable growth plan, which includes the Agromart retail network and our grain trade businesses. This agreement will help us continue with our major expansion program elsewhere in Canada and remain competitive on grain and agricultural input markets,” explained Gaétan Desroches, Chief Executive Officer of La Coop fédérée.
“We are confident that current clients will greatly benefit from our experience and expertise. They can take advantage of a crop input service offering, grain handling, marketing in the region and access to a vast network of agricultural retailers that stretches well beyond Ontario thanks to more than a hundred affiliated establishments across Canada,” added Sébastien Léveillé, Executive Vice-President, Agri-business division of La Coop fédérée.
Establishments included in the sale to the Agri-business division of La Coop fédérée:
Cargill grains: Melbourne; Princeton; Shetland; Staples; Talbotville
Cargill agricultural input: Alliston; Clinton; Courtland; Harriston; Harrow; Melbourne; Mount Albert; Princeton; Shetland; Talbotville; Tilbury; Waterford
South West Ag Partners grains: Becher; Grande Pointe; Palmerston Grain; Rutherford; Tupperville; Wallaceburg; all grain satellite relationships
South West Ag Partners agricultural input: Becher; Dover; Eberts; Ridgetown; Rutherford
The sale does not include the Sarnia export terminal and the AgResource agricultural input wholesale sales operation. All of Cargill’s other grain and agricultural input assets in Canada and all of Cargill’s other businesses in Ontario and elsewhere in Canada are not included in the sales agreement.
About La Coop fédérée
Founded in 1922, La Coop fédérée is the largest agri-food enterprise in Quebec and it is the 24th largest agri-food cooperative in the world. It represents more than 120,000 members, agricultural producers and consumers grouped into nearly 70 cooperatives with operations spread out in many Canadian provinces. More than 13,000 people are employed at La Coop which has annual revenues of $6.3 billion. Including its affiliated network, La Coop fédérée has nearly 18,000 employees and consolidated revenue of $9.2 billion. Its activities are separated into three Divisions: Olymel S.E.C (under the Olymel, Flamingo and Lafleur banners), the Agri-business division (under the La Coop, Elite, Agrocentre Agrico and Agromart banners), and Groupe BMR under the BMR, Unimat, Agrizone and Potvin & Bouchard banners). For further information, visit www.lacoop.coop. Twitter account: @LaCoop_federee.
La Coop fédérée: Ben Marc Diendéré, Senior Vice-President Communications, Public Affairs and Brand Image
Nicolas Poirier-Quesnel, La Coop fédérée, 514-858-2020 firstname.lastname@example.org