The owners of United Suppliers, Inc. and members of Land O'Lakes, Inc. have overwhelmingly approved the merger of United Suppliers with Land O'Lakes' crop inputs business. The merger will build on the recent successes of the two companies and aims to create a single, relevant and competitive system of independent agricultural retailers.
"This merger will allow us to continue to meet our customers' needs through each company's successful go-to-market strategy while providing for the size and scale to compete in an environment of consolidating suppliers and competitors," said Chris Policinski, President and CEO of Land O'Lakes, Inc. "We are excited to bring our WinField business and United Suppliers together and expect our members, owners and customers will benefit greatly from this merger."
Under the merger, Ames, Iowa-based United Suppliers, Inc. will join with Arden Hills, Minnesota-based Land O'Lakes, Inc.'s crop inputs business. The first step of the merger will be to combine the two companies' seed and crop protection businesses under Winfield US, LLC, and a second step will merge the crop nutrient business.
Customers are expected to benefit from expanded product offerings, enhanced precision agriculture services, tools and technologies, improved product insights, consulting services and more.
"Both organizations exist to increase our customers' capabilities and competitiveness. By coming together, we are true to our shared purpose, and we also preserve our different approaches to best serve a wide variety of customer needs," said Brad Oelmann, President and CEO of United Suppliers, Inc. "Together, we are positioned to protect and build the future of independent agricultural operations in an environment of consolidation."
In 2014, WinField had $4.9B in seed and crop protection product sales and United Suppliers had $2.6B in crop protection, seed and crop nutrient sales. Closing is anticipated in October 2015.
Land O'Lakes, Inc., one of America's premier agribusiness and food companies, is a member-owned cooperative with industry-leading operations that span the spectrum from farm production to consumer foods. With 2014 annual sales of more than $15 billion, Land O'Lakes is one of the nation's largest cooperatives, ranking 203 on the Fortune 500. Building on a legacy of more than 94 years of operation, Land O'Lakes today operates some of the most respected brands in agribusiness and food production including LAND O LAKES® Dairy Foods, Purina Animal Nutrition and WinField. The company does business in all 50 states and more than 60 countries. Land O'Lakes, Inc. corporate headquarters are located in Arden Hills, Minn.
About United Suppliers, Inc.
United Suppliers is a unique, customer-owned wholesale supplier of crop protection inputs, seed and crop nutrients, with headquarters in Eldora and Ames, Iowa. Founded in 1963, United Suppliers today is comprised of 600 agricultural dealers (Owners) that operate nearly 2,800 retail locations throughout the United States and parts of Canada. The mission of United Suppliers is to be the supplier of choice while increasing Owners' capabilities and competitiveness. To meet this goal, United Suppliers strives to provide Owners with transparent market intelligence, innovative products, reliable market access and customized business solutions.