MINNEAPOLIS, MINNESOTA, US — Ceres Global Ag Corp has entered into an agreement to acquire Cargill Ltd.’s grain elevator and associated assets referred to as Nicklen Siding.
The grain elevator has a total storage capacity of 14,000 tonnes. Acquisition of the Ridgedale, Saskatchewan, Canada, elevator is expected to close on Aug. 31. Ceres Global will assume Cargill’s open grain purchase contracts.
“With the acquisition of the Nicklen Siding elevator we take another meaningful step in our broader strategy to increase core product origination directly from growers in important regions” said Robert Day, president and chief executive officer of Ceres Global. “The northern Saskatchewan region is critical for Ceres due to the highly efficient grower community, its product mix and competitive access to our terminal assets and customers. Lastly, we are extremely pleased to have the opportunity to retain Cargill’s talented team at the Nicklen Siding elevator and we are excited to welcome them to our Ceres Global family.”
The acquisition is subject to the satisfaction of closing conditions and will be funded with existing working capital.
Headquartered in Minneapolis, Minnesota, US, Ceres procures and supplies North American agricultural commodities and value-added products, industrial products, fertilizer, energy products and reliable supply chain logistics services to customers worldwide.
Together with its affiliated companies, Ceres operates 13 locations across Saskatchewan, Manitoba, Ontario and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 30.8 million bushels.