USA-Agricultural cooperative GROWMARK, the majority owner of Allied Seed, LLC, has acquired the remaining ownership held by GreenPoint Ag Holdings, LLC for undisclosed terms.
The transactions include seed production facilities, wholesale and retail agronomy facilities, and Agway’s equity interest in CF Industries and Allied Seed L.L.C.
Launched in 2000, Allied Seed, based in Nampa, Idaho, US, offers a full line of forage, turfgrass, and cover crop seed as well as custom production, blending packaging, and seed treatment services.
According to Bill Davisson, GROWMARK CEO, the agronomy and seed businesses in the Northeast U.S. will be managed by Ed Rodenburg, GROWMARK Vice President of Eastern Retail Operations.
Rodenburg, who will relocate to the area, was named Ontario region manager for GROWMARK in 1994 and later served as general manager of agri-business for Agricore of Calgary, Alberta, Canada.
In addition, Rodenburg also served Agricore as general manager, of grain and special crops, before returning to GROWMARK as a consultant in October 2002.
For Growmark, the acquisition is a plus since Allied Seed facilities are located in primary production areas for forage grass, legume, and turfgrass seed where the company contracts more than 25,000 acres of seed production.
It is also already a partner since it is a key supplier to the GROWMARK System,” said Keith Lawson, GROWMARK Vice President of Seed supplies.
“The acquisition of the remaining stake in Allied Seed supports our overall growth and supply strategies and positions us well to meet the increasing demand for cover crops as part of a comprehensive on-farm sustainability strategy.”
Cover crop production in the USA has continued to experience a trajectory of growth following increased demand. In 2020, an estimated 20 million acres were planted with cover crops according to the University of Missouri Center for Regenerative Agriculture.
However, this number is expected to increase to approximately 30 million acres by 2030 under a new US Department of Agriculture (USDA) conservation program.
GROWMARK, Inc., is a regional cooperative that provides agriculture-related products and services to local cooperative members and their farmer-owners in the U.S. and Ontario, Canada