In its pursuit of strategic growth and development, Cargill has made a key move as it has entered a definitive agreement to acquire Owensboro Grain Company. The supplier will add the fifth-generation, family-owned soybean processing facility and refinery to its North American agricultural supply chain business.
"We are pleased to welcome Owensboro Grain Company into our Cargill family," said Leonardo Aguiar, President of Cargill's North American agricultural supply chain. "Our two companies have tremendous operational histories, similar heritages as grain merchants, and values, including an unwavering commitment to prioritizing people—making this a tremendous fit. Additionally, this is a significant milestone in Cargill's journey to create a connected and modernized grain experience for our customers.”
Owensboro Grain Company was founded in 1906 as a small grain merchant and today operates a fully integrated soy processing facility, a release explained. The company produces soy products, including protein meal and hull pellets for animal feeds, crude and degummed oil, lecithin, various blends of refined vegetable oil for humans, and more.
Cargill's addition of Owensboro Grain Company enhances its efforts to modernize and increase capacity across its North American oilseeds network to support the growing demand for oilseeds driven by food, feed, and renewable fuel markets.
"We are excited for this new chapter in the life of Owensboro Grain Company and believe an acquisition by Cargill will ensure the long-term success of the company," said Helen Cornell, President and Chief Executive Officer of Owensboro Grain Company. "Cargill has the ability to capitalize on growing opportunities in the industry, such as renewable energy. The acquisition will ensure that Owensboro Grain Company, its employees, farmers, customers, and the community are best positioned for the future. We are excited to transfer ownership to another multi-generational family-held enterprise with global access to markets and capabilities to ensure the future growth of our business. Cargill has the global resources necessary to support Owensboro Grain Company's growth goals and operations."
Terms of the deal were not disclosed. The transaction, which has been approved by the Boards of Directors of Cargill and Owensboro Grain Company, is subject to regulatory approvals and other customary closing conditions and is expected to close in early 2023.
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