Alltech and Masterfeeds today announced that they have entered into a share purchase, where Alltech will acquire 100 percent of Masterfeeds Inc’s outstanding shares from Ag Processing Inc. The combined company will see over $2.1 billion in annual revenues and “become one of Canada’s largest animal nutrition offerings.”
“This is a crucial time in agriculture, and Canadian farmers are facing ever-increasing pressures, including the continued drive to produce more with fewer resources,” said Pearse Lyons, founder and president of Alltech, in a release. “Masterfeeds provides the on-farm support that is critical to Canada’s farmers and ranchers. This new opportunity will enable more efficient delivery of superior animal nutrition and tailored feeding programs, supported by robust scientific research.”
This is Alltech’s second major acquisition in North America this year, after buying Ridley Inc. Alltech acquired another Canadian feed company — EMF Nutrition — in 2013.
The company will now have a presence in 128 countries, with more than 4700 employees. In Canada, Alltech, Masterfeeds and EMF Nutrition employ 700 Canadians. They are present in 25 manufacturing and premix facilities, nine retail locations and seven distribution centres.
“Alltech’s investment strategy is unfolding in exciting ways,” said Rob Flack, president and CEO of Masterfeeds. “Alltech’s primacy in science, supported by an extensive research and development program, is both cutting-edge and relevant. Masterfeeds’ proven on-farm feeding solutions will be strengthened through proprietary Alltech nutrition technology, adding further value to our customers throughout Canada.”
The acquisition is expected to be completed by the end of 2015, provided it meets regulatory approvals. Masterfeeds will be Alltech’s 14th acquisition since 2011.
Related:
Alltech to Acquire Ridley for $521 Million (2015)
Feed-Rite and Masterfeeds Merge to Form Masterfeeds LP (2012)
We are very happy to welcome @MasterfeedsCDN to the @Alltech family of companies. https://t.co/W6bN0qWPIf pic.twitter.com/suX1weN4BA
— Alltech (@Alltech) November 10, 2015
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