United Farmers of Alberta Cooperative Limited (UFA) has acquired all of Ceres Global Ag Corp.’s 17 per cent stake in Canterra Seeds.
The share purchase agreement, dated July 2, 2024, is worth C$2,500,000 or approximately C$1.94 per Class A share in the Winnipeg, Manitoba-based seed company.
“Today’s announcement marks an investment in western Canadian agriculture,” says UFA president and CEO Scott Bolton, in a statement issued July 3. “Over the last several years UFA has demonstrated strong results and built a balance sheet that will enable continued investment in western Canadian agriculture that benefits our member-owners.”
UFA says the investment in Canterra will not affect day-to-day operations or which seed varieties are available for purchase through the agricultural co-op’s network of 34 farm and ranch supply stores serving customers in Alberta, BC, and Saskatchewan.
“UFA is already a key partner of Canterra Seeds, and when the opportunity presented itself to ingrain themselves in our seed business further, they jumped on it,” notes Canterra president and CEO Brent Derkatch.
Canterra is also owned by international ag co-operative Limagrain, 175 seed growers, ag retailers, and private investors, with a seed portfolio for Western Canada that includes canola, cereal grains, pulses, and specialty crops.
“Canterra Seeds was built on close, collaborative partnerships,” says Jim Wilson, chair of Canterra’s board of directors. “Along with farmer-owned Limagrain, we now have a company stakeholder that has deep roots in the Canadian Prairies like us; founded on trust and exceptional customer service – we’re happy to have UFA on board.”
Bolton will serve as UFA’s representative on Canterra’s board of directors, replacing Ceres’ representative, Jeff Wildeman.
Ceres’ president and CEO, Carlos Paz, says the sale was “aligned with our strategy to streamline our asset footprint” and “allows Ceres to continue focusing on our core business while improving efficiencies.”
Publicly traded on the Toronto Stock Exchange, Ceres is headquartered in Golden Valley, Minnesota, and together with affiliated companies, operates 11 grain and oilseed handling facilities in Saskatchewan, Manitoba, Ontario, and Minnesota. The company also has shares in other grain handling, port, and shortline rail infrastructure in Canada and the U.S.
