Federated Co-operatives Ltd. has entered into an agreement to purchase 17 of Viterra’s crop input centres.
“This agreement enhances our federation’s agri-business presence across the Prairies,” Ron Healey, associated vice-president of ag and home products at FCL, said in a press release.
“We are pleased to be acquiring these assets and look forward to acquainting new employees and customers with the (co-operative retailing system) and the benefits it has to offer.”
Financial details of the agreement were not disclosed. The transaction is expected to close at the end of September.
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FCL will transfer ownership and operation of the facilities to local retail co-ops after the transaction with Viterra is completed.
The agreement includes eight sites in Saskatchewan (Canwood, Cupar, Leoville, Lloydminster, North Battleford, Prince Albert, Strasbourg and White Star), eight in Alberta (Barons, Claresholm, Crossfield, Grimshaw, High River, Manning, Stettler and Viking) and one in Roblin, Manitoba.
Viterra has an agreement to sell 217 of its western Canadian farm centres to Agrium. That deal has yet to be approved by government regulators.
On May 1, Richardson International Ltd. acquired 19 of Viterra’s country elevators and 13 crop input centres co-located within those elevators.
The Grain Services Union says that leaves Viterra with one crop input centre in Kamsack, Sask.
FCL said employees at the 17 centres it is acquiring will be offered similar terms and conditions of employment that they had at Viterra.
