US-based farmer-owned agribusiness company CHS has teamed up with Australia-based Ruralco to acquire grain origination and marketing firm Agfarm for an undisclosed amount.
Under the deal, CHS and Ruralco will each own 50% of Agfarm. The name and management structure of Agfarm will not change.
CHS Asia-Pacific Ag Business senior vice president Rick Browne said that this partnership aligns with CHS strategic growth initiatives that add value to member-owners by competitively linking global producers with buyers and consumers.
"CHS is committed to investing for the long term in the Australian market, so that Agfarm growers benefit from even stronger connections to the growing, global demand for high quality grains and oilseeds," Browne added.
Agfarm founder Bob McKay will continue to serve the organization as chief executive officer. The company operates eight offices in Australia and employs 38 people.
CHS is a leading global agribusiness owned by farmers, ranchers and cooperatives across the US.
Ruralco is a Australian agribusiness which operates through a national footprint of businesses that specialize in providing rural customers with products and services in merchandise, fertilizer, seed, wool, livestock, real estate, risk management, water, grain, finance and insurance.
