Agrium Inc. announced Aug. 29 a binding purchase agreement between its Crop Production Services (CPS) Ag-retail business and Southern States Cooperative Inc. for the acquisition of 20 Ag-retail locations in the states of Georgia and Florida and its integrated cotton ginning business in Statesboro, Ga. The anticipated annual revenue from these locations exceeds $100 million.
"Agrium remains focused on enhancing our retail distribution network in the U.S., and this acquisition will allow us to further capitalize on our existing presence in these regions," Chuck Magro, Agrium president and chief executive officer, said. "We would like to extend a warm welcome to the Southern States Ag-retail employees and are enthused to bring the latest in technologically advanced, proprietary products and precision ag services to grower customers in the southeastern U.S.”
Southern States president and CEO Jeff Stroburg said the agreement will provide opportunities and allow Southern States to optimally focus resources within its footprint to serve its members and customers more efficiently and effectively.
The transaction is subject to customary closing conditions and is expected to close in September.