The Ag retail market in Western Canada continues to consolidate with Agrium’s latest announcement of retailers that will be under the Crop Production Services (CPS) brand. The 5 retailers and the joint venture mentioned in Agrium’s press release include:
Parkland Agri Services: (AB) Carseland, Crossfield, Disbury, Penhold, Delburn, Stettler, Torrington, High River, Nanton,
Ross Agri: (AB) Camrose, Castor, Czar, Drumheller, Ponoka, Rimbey, Trochu, Viking, Wainright, Wetaskiwin.
ServAgro: (AB) Milk River, Foremost, Bow Island
RTL Agri Services: (AB) Lethbridge, Coaldale, Picture Butte,
Cheyne Agri Services: (SK) Rocanville, Moosomin, Kipling, Montmartre
Heartland Agro Services: (SK) Moosejaw, Regina, Lumsden, Davidson
Who is the next Engro (Esso) or Agrium JV to come under the CPS name and Agrium control?
Title: Agrium Continues Retail Growth With Move Into Western Canada
Date(s): 1/11/2010 7:34:37 AM
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CALGARY, ALBERTA, Jan 11, 2010 (MARKETWIRE via COMTEX) — ALL AMOUNTS ARE STATED IN U.S.$
Agrium Inc. (TSX: AGU) (NYSE: AGU) announced today a number of
transactions resulting in the establishment of 33 retail outlets in
Alberta and Saskatchewan, Canada, and they will now be branded under
the Crop Production Services (Canada) Inc. name.
Agrium has purchased the remaining crop nutrient assets which it did
not previously own from five Engro franchise dealers and an existing
joint venture, with 27 locations in southern and central Alberta and
6 locations in southern Saskatchewan.
The retail outlets have annual revenues of approximately
“These acquisitions are an important part of our Retail growth
strategy and are expected to be accretive to earnings in 2010″, said
Mike Wilson, Agrium President and CEO. “The purchase of these retail
assets marks our entrance into the Canadian retail market and will
enhance our ability to serve all our customers in these regions.
Agrium has been in the retail crop input business in the U.S. for
approximately 17 years under the brand name of Crop Production
Services and this move into Canada is in line with our goal of
doubling our Retail EBITDA in the future and providing further
diversity in our Retail business. We will continue to look at
selective retail opportunities as they arise.”
Over the past six months, Agrium has acquired over 60 farm centers in
the United States and Canada, with over $350-million in revenues.
This includes the series of transactions noted above, the acquisition
of 24 retail outlets from Agriliance in December, 2009, and four
other independent outlets in the United States.