Dakota Plains Coop and CHS to Consider Consolidation
Date Posted: August 26, 2013
St. Paul, MN—CHS Inc. (NASDAQ: CHSCP), an energy grains and foods company and the nation's leading farmer-owned cooperative, and Dakota Plains Cooperative, a full-service agribusiness headquartered in Valley City, N.D., announced Aug. 26 the two cooperatives have been in discussions about entering into a merger transaction and now seek approval from the members of Dakota Plains Cooperative and the CHS Board of Directors.
Integral to this effort is close examination of opportunities to enhance agronomy assets in the east central area of North Dakota.
Plans under discussion include constructing three new fertilizer plants within the Dakota Plains trade area to take full advantage of the proposed fertilizer manufacturing facility in Spiritwood, N.D., currently under review by CHS.
"Dakota Plains is excited to have the opportunity to partner with CHS. They have worked well with us in the past and we look forward to taking our relationship to the next level," said Greg Svenningson, Dakota Plains Cooperative board president.
"This merger will allow Dakota Plains to more fully align and partner our growers with the nation's largest cooperative."
"Both organizations are looking for growth and expansion opportunities at the same time we protect member equity," said John McEnroe, executive vice president, CHS Country Operations.
"We are always interested in investments that align with the CHS commitment to helping our farmer-owners grow their businesses."
A series of informational meetings for Dakota Plains patrons are being scheduled for September to bring more information to area growers.
For more information, call 651-355-4946.