Wilmar Sells Stake in Palm and Animal Feed Trader to Germany’s Agravis
Germany-based agricultural cooperative, Agravis, announced it has acquired a 33% stake in German animal feed and palm products trader, H. Boegel from Wilmar International Ltd., according to Reuters.
Agravis, which posted turnover in 2014 of €7.4 billion (US$8.02 billion), has set a strategy for growth through international expansion and reaching into businesses in new regions in order to grow its market share, according to Feed Navigator – and this deal will give Agravis a direct pipeline of availability to palm-based animal feed ingredient purchase markets from Asia.
“It secures supply for our feed production plants and the domestic market as a whole,” Agravis chief executive officer, Dr. Clemens Gross Frie, told Feed Navigator.
Agravis has been active in its pursuit of acquisitions. In October 2014 Global AgInvesting reported that together with the two Danish firms, Danish Agro and Vestjyllands Andel, Agravis agreed to take over the German grain trader Getreide AG. Getreide is a leading trader of wheat, barley, and other grains in northern Germany with a turnover of approximately US$1.3 billion. The deal included the company’s animal feed and grain operations (excluding rapeseed) with an annual capacity of 450,000 tons of feed.
Then in June 2015, Agravis subsidiary, Raiffeisen Uckermark invested €9 million to build nine silos at the Port of Schwedt, and in July of last year, Agravis acquired a turkey feed plant from the Heidemark Group with a production capacity of 270,000 tons.