One of Canada’s pulse processing giants is gearing up to enter an acquisition and expansion phase.
Legumex Walker Inc. has secured a $107 million line of credit from HSBC Bank Canada and Farm Credit Canada.
“We are committed to putting our capital to work as we expand our sourcing, processing and distribution networks in both special crops and oilseeds,” said company president Joel Horn in a press release.
Spokesperson Jon Austin said they want to increase their presence in existing markets and diversify into new product lines and geographies.
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“We’re opportunistic and we’re looking for ways to grow our business,” he said.
The company has made no acquisitions since it was formed last June through the merger of Manitoba’s Roy Legumex Group of Companies and Saskatchewan’s Walker Seeds.
In its third quarter filings, the company said it is committed to expanding its sourcing region for pulse crops outside of Canada and pursuing new product lines that fit with its existing operations.
“It doesn’t mean we’re not open to opportunities in Canada as well,” said Austin.
Meanwhile, work on the company’s $110 million US Pacific Coast Canola plant in Warden, Washington, is proceeding on time and on budget.
Pacific Coast Canola recently hired a vice-president of sales and marketing and a vice-president of seed procurement.
The company intends to have canola supplies in place prior to the anticipated early 2013 launch of the facility.
“We’re going to reach out far and wide,” said Austin.
The plant will require about 380,000 tonnes of canola annually to produce 142,500 tonnes of canola oil and 227,000 tonnes of meal.
