Ceres Global Announced Exclusive Option to Acquire Manitoba Grain Company Delmar Commodities
Ceres Global announced it has secured the exclusive option to acquire Delmar Commodities, a Manitoba, Canada-based grain merchandiser, soybean crusher, bird feed producer, and exclusive distributor in western Canada for Legend Seed products.
Headquartered in Minneapolis, Minnesota, Ceres produces and supplies North American agricultural commodities and controls an aggregate grain and oilseed storage capacity of approximately 29.7 million bushels. It also supplies value-added products, fertilizers, energy products, and supply chain logistics services.
Under the terms of the agreement, Ceres has until July 31 to purchase Delmar’s total issued and outstanding shares for C$16 million (US$12.2 million) in cash, and to assume C$7.6 million (US$5.8 million) in existing term debt. Delmar would then become a Ceres subsidiary, and would integrate its operations into Ceres’ overall network.
Once due diligence is completed, and a definitive share purchase agreement finalized, Ceres, is expected the deal to close on or about August 1 of this year.