Landus Cooperative on Tuesday announced it has signed an asset purchase agreement with ADM to acquire ADM’s grain facility in Manilla, Iowa.
Under the purchase agreement, Landus Cooperative gains more than 2.3 million bushels of grain capacity for its first wholly-owned Crawford County, Iowa location including
· 775,000 bushels of upright storage
· More than 1.5 million bushels of bunker storage
· 32,000 bushel per hour receiving capacity
Pending final documentation, Landus Cooperative is slated to take possession June 1, 2018.
“This Manilla, Iowa site is a strategic purchase for Landus Cooperative and farmers in western Iowa,” explained Milan Kucerak, chief executive officer for Ames- based Landus Cooperative. “While this grain asset has been well cared for, we expect to improve efficiency on behalf of the customer utilizing best practices from our nearly 60 grain locations in Iowa.”
“Our domestic and international grain end-users continue to demand high-quality corn and soybeans, and we know Crawford County farmers can help meet that demand,” added Kucerak.
Under terms of the purchase agreement, ADM and Landus Cooperative plan to honor all outstanding grain contracts.
“We are anxious to begin working with growers in and around Crawford County and want to make their transition to Landus Cooperative as seamless as possible,” explained Roger Fray, chief commodity marketing officer who oversees a team of dedicated grain marketing advisors.
“Our Cooperative Advantage Package of more than a dozen marketing alternatives combined with our patronage opportunities make membership in Landus Cooperative an attractive option for former ADM-customers,” added Fray.
Landus Cooperative also plans to host a grower meeting shortly after final documents are signed, and the facility changes ownership.
According to the North American Grain & Milling Annual ranking of the largest grain companies in North America based on storage, ADM ranks 2nd and Landus Cooperative ranks 6th.
