Posted on May, 7, 2024 at 09:24 am
CHS has signed an intent to purchase agreement for eight grain assets in five states from Cargill.
With this purchase, CHS aims to continue optimizing its enterprise supply chain while providing market access and end-to-end value to owners, said Rick Dusek, executive vice president of ag retail, distribution and transportation for CHS.
The purchase adds key grain facilities to the CHS enterprise supply chain, connecting CHS farmer-owners to the global marketplace, Dusek said.
Assets included in the sale are located in Pipestone and Maynard in Minnesota; Morris and Seneca in Illinois; Holdrege in Nebraska; Cheyenne Wells and Byers in Colorado; and Parker in South Dakota.
“Our farmer-owners look to CHS to provide them with local assets that have the speed and space to serve their needs today and into the future,” Dusek said. “Purchasing these grain assets is part of a larger strategy to invest in our enterprise supply chain, efficiently connecting our owners to the global marketplace.”
In its media statement, Cargill said: “Cargill and CHS have a strong partnership today based on shared values, strategic alignment and an effective and efficient business model, making CHS the right partner for this sale.”
The purchase is tentatively planned to close in early June.
Source: AgriNews