Ames, IA — Landus, a farmer-owned cooperative based in Iowa, announced June 9 the latest addition to its optimization model.
United Farmers Cooperative (UFC), a farmer-owned cooperative offering a diversified set of products and services to its membership, is the second agriculture retail company from Minnesota and fourth overall to participate in this innovative alternative to a traditional merger or acquisition.
“It’s exciting to see the momentum starting to build for this new way to collaborate. It speaks volumes about the need for a better way to work across organizations who serve farmers directly,” said Matt Carstens, president and CEO, Landus.
“We welcome UFC to our growing network of farmer facing businesses in Minnesota.”
Effective June 9, 20201, UFC will become an optimization account with Landus while continuing to maintain a separate Board of Directors, employees, and operations.
“We are in a constant state of change across our industry, and it is partnership opportunities like this that inspire me,” said Mitch Altermatt, CEO and general manager, UFC.
“Now more than ever, we need to focus on the growers’ current and future needs, and this ‘local collaboration’ approach is a significant step in the right direction.
"We look forward to sharing resources and learning from this group of forward thinkers.”
Financial terms of the agreement are not being disclosed.
Landus first announced in April 2021 an innovative alternative to traditional mergers and acquisitions for agriculture retail. Participating companies maintain autonomy, preserve local community presence, and enhance farmer relationships while participating in a shared platform of strength.
This new model is designed for collaboration and optimization on grain, feed, soybean processing, agronomy, data, technology, logistics, and back-office functions. It also provides the opportunity to maximize capital investments, infrastructure capacity, and employee talent.
Agreements are tailored to the strengths of each party and developed on a case-by-case basis. Refer to previous announcements here.