The board of West Central Ag Services has announced it will put one offer for acquisition in front of its membership on Nov. 26. The board said the vote to continue with the process to merge with CHS was unanimous.
As reported by the Red River Farm Network, West Central board chair Duane Brendemuhl described the CHS bid as “superior.”
This announcement comes after the West Central Ag board and business leadership met with The Arthur Companies to explore their resubmitted bid, which led to the member vote being delayed and rescheduled.
“We appreciate the chance to sit down with West Central’s leadership this past week,” says James Burgum, CEO of The Arthur Companies. “The Arthur Companies remains willing to work out a deal that prioritizes the growers’ bottom line while maintaining competition and great customer service for future generations. We’re looking forward to meeting with growers this week and we encourage patrons to get out and vote on November 26,”
This week, West Central Ag is hosting patron meetings across five locations.
Also this week, The Arthur Companies is continuing its campaign highlighting its own offer with meetings in four locations across Minnesota.
The vote on Nov. 26 will require 2/3 of the membership to vote to affirm the merger with CHS.
It’s been an interesting two weeks since The Arthur Companies disclosed they also submitted a bid for acquisition along with CHS for West Central Ag Services, a co-op based in western Minnesota with 14 locations.
Three things have made this story unique in the ag retail business:
- Typically, when a company does not get chosen as the winning bid, they don’t reveal themselves
- Not only is Arthur Companies making it known they sought to acquire West Central, they are actively asking farmers to reconsider a resubmitted indication of interest
- This represents a family-owned business (The Arthur Companies) looking to acquire a cooperative
Previous Coverage:
Co-Op Board Delays Merger Vote, Farmers Will Consider Two Offers
