Agrium Inc. announced a binding purchase agreement between its Crop Production Services ("CPS") Ag-retail business and Southern States Cooperative, Inc. ("Southern States") for the acquisition of 20 Ag-retail locations in the states of Georgia and Florida and its integrated cotton ginning business in Statesboro, Georgia. Anticipated annual revenue from these locations is over $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," commented Agrium's President and CEO, Chuck Magro. "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.," added Mr. Magro.
"While we have great employees and customers in southern Georgia and northern Florida, this agreement will provide opportunity to these stakeholders and allow Southern States to optimally focus resources within our footprint to serve our members and customers more efficiently and effectively," stated Southern States President and CEO, Jeff Stroburg.
The transaction is subject to customary closing conditions and is expected to close in September.