CHS and West Central Ag Services have signed a nonbinding letter of intent for acquisition. After due diligence and necessary approvals, West Central Ag would join the CHS business.
“Our two cooperatives are aligned in our vision to advance the cooperative system and best serve our owners by connecting our producers to the global marketplace,” says Duane Brendemuhl, West Central Ag Services Board president and chair. “This proposed transaction provides an opportunity to bring more value to our farmer owners and compete more effectively with other local ag companies, while positioning us for the future success of a combined cooperative through efficient, globally connected supply chains.”
West Central Ag Services was founded in 2000, is headquartered in Ulen, Minnesota and has 14 locations.
“CHS and West Central Ag Services have a longstanding, strong relationship based on mutual trust and respect, as evidenced by our joint venture Central Plains Ag Services” says Rick Dusek, executive vice president of ag retail, distribution and transportation at CHS. “Better connecting the global agriculture supply chain and investing in the speed and space of our assets provides better market access and creates more value for farmer owners,” says Dusek.
