GROWMARK Announces B-G Fertilizer Acquisition, Lease Of Bunge Fertilizer Terminals
GROWMARK has acquired B-G Fertilizer and will lease Bunge fertilizer assets in Iowa and Illinois to expand the cooperative's scope and reach.
January 2, 2013
GROWMARK, Inc., Bloomington, IL, today announced it has agreed to purchase Bunge North America’s interest in B-G Fertilizer, LLC.
B-G Fertilizer, LLC owns and operates the former CF Industries terminal located in Cincinnati, OH, to serve the needs of retail customers that provide fertilizer to farmers. Terms of the transaction were not disclosed.
“We have had a great working relationship with Bunge during the past two years,” said Jim Spradlin, GROWMARK Vice President, Agronomy. “The Cincinnati terminal has brought value to the dealers in the areas it serves and we look forward to continuing to provide the outstanding customer experience for which the team at Cincinnati is known.”
GROWMARK and Bunge also announced that GROWMARK will lease Bunge fertilizer assets located in Council Bluffs, IA and Fulton, IL. These facilities will be incorporated into the current GROWMARK portfolio to expand the cooperative’s scope and reach.
“We are pleased to announce the additions of Council Bluffs and Fulton to our existing terminal portfolio,” said Rod Wells, GROWMARK Plant Food Division Manager. “There are exciting opportunities at each facility to capitalize on truck transportation to their associated grain terminals in the form of back hauls. This should provide efficient sourcing opportunities for area retailers. The Council Bluffs facility, in particular, is new construction and state of the art. We look forward to serving the dealer network from these two locations.”
“Bunge realized benefits from our North American fertilizer business including our investment in B-G Fertilizer, but have decided to focus our investments in our other lines of business,” said Bailey Ragan, vice president, Grain, Biofuels and Fertilizer for Bunge North America. “We look forward to continuing our strong relationship with GROWMARK through the lease of our terminals in Council Bluffs and Fulton.”
Overall, the acquisition and lease agreements represent approximately 130,000 tons of dry and liquid plant food storage.