UFA completes $48.2 million acquisition of AgraCity assets

""This is an incredibly significant move, not just for UFA, but for the agricultural community in Western Canada. This brings instant capacity, credibility and the opportunity to serve a bigger geography than we have in the past, with a large customer base in Saskatchewan and Alberta," says Fred Thun, UFA president and CEO."

""If I think about the agricultural community, AgraCity is all about providing quality products at low prices on a timely basis. This is a good thing, because now we reopen that supply chain that was challenged in the last couple of years. And not only that, this business is ultimately owned by the Western Canadian producer," he continues."

""The transaction was structured to ensure farmers who did not receive product they had paid for from AgraCity will be made whole by UFA," says Thun."

United Farmers of Alberta completed the acquisition of AgraCity Crop & Nutrition Ltd. assets for $48.2 million after court approval. The deal includes crop protection product registrations, a packaging facility, a distribution fleet, and a fertilizer distribution center. UFA aims to fill gaps in its offerings and improve supply chains for farmers. The purchase price allocates $13 million for a fertilizer blending facility. UFA will ensure farmers who were owed products by AgraCity are compensated.

Read at Realagriculture