Fast on the heels of The Scoular Company agreeing to acquire the special crops division of Canada’s Legumex Walker, which includes 14 facilities across Canada, the U.S. and China, for $71.1 million, the company said it will be seeking further acquisitions across Western Canada.
The first move for Scoular will be the upgrading of the Legumex Walker plants, which give the company the ability to enter the lentil, pea, and sunflower markets in counties including India, Turkey, and the U.S.
Once these upgrades are underway, the company plans to turn its attention to entry into Western Canada’s grain and oilseed space, with the expectation of an announcement of an acquisition within a year, according to company chief operation officer, Bob Ludington.
Grain handling in the region is dominated by Richardson International, Viterra Inc., and Cargill, but Mr. Ludington states that Scoular would be looking to partner with smaller players.
"There are existing players open to partnering with the right kind of company," he said, adding that although Viterra’s parent company, Glencore Plc, is looking for partners for its agricultural assets, a partnership between the two in not in the future.
Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at email@example.com.