MINNEAPOLIS, July 23, 2020 /CNW/ - Ceres Global Ag Corp. (TSX: CRP) ("Ceres Global" or the "Company"), a global agricultural, energy and industrial products merchandizing and supply chain company, announced today that it has entered into an agreement to acquire Cargill Limited's grain elevator and associated assets referred to as "Nicklen Siding" and located in Ridgedale, Saskatchewan. Ceres Global and Cargill expect the acquisition to close on or about August 31, 2020. The acquisition is subject to the satisfaction of closing conditions customary to transactions of this nature and will be funded with existing working capital. Under the terms of the agreement, Ceres Global will assume Cargill's open grain purchase contracts.
"With the acquisition of the Nicklen Siding elevator we take another meaningful step in our broader strategy to increase core product origination directly from growers in important regions" said Mr. Robert Day, President and Chief Executive Officer at Ceres Global. "The northern Saskatchewan region is critical for Ceres due to the highly efficient grower community, its product mix and competitive access to our terminal assets and customers. Lastly, we are extremely pleased to have the opportunity to retain Cargill's talented team at the Nicklen Siding elevator and we are excited to welcome them to our Ceres Global family."
About Ceres Global Ag Corp. (ceresglobalagcorp.com)
Through its network of commodity logistics centers and team of industry experts, Ceres Global merchandizes high-quality North American agricultural commodities and value-added products and provides reliable supply chain logistics services to agricultural, energy and industrial customers worldwide.
Ceres Global is headquartered in Minneapolis, Minnesota, and together with its affiliated companies, operates 13 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 30.8 million bushels.
Ceres Global has a 50% interest in Savage Riverport, LLC, a joint venture with Consolidated Grain and Barge Co., a 50% in Gateway Energy Terminal, a joint venture with Steel Reef Infrastructure Corp., a 25% interest in Stewart Southern Railway Inc., a short-line railway located in southeast Saskatchewan with a range of 130 kilometers, and a 17% interest in Canterra Seed Holdings Ltd, a Canada-based seed development company.
For more information about Ceres Global, please visit www.ceresglobalagcorp.com.
Cautionary Notice: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation and United States securities laws. Forward-looking information may include but is not limited to, statements regarding the timing and completion of the Private Placement and the proposed use of proceeds. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expects," "intends," "anticipates," "believes" or variations of such words and phrases or statements that certain actions, events or results "may," "could," "would" or "might," "be taken," "occur" or "be achieved." Forward-looking information is based on the opinions and estimates of management at the date the information is made and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Ceres undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.
SOURCE Ceres Global Ag Corp.
For further information: Katelynn Thissen, NATIONAL Capital Markets, 416-848-1427, [email protected]