Origin Merchant Partners acted as Financial Advisor to CMI Terminal Ltd. (“CMI”) on the sale of its Crop Production Services (“CPS”) business unit, CMI Ag Ltd. (“CMI Ag”), to Rack Petroleum Ltd. (“The Rack”).
CMI’s CPS business was established in 2005 through its joint venture with Agricore United, later to be purchased by Viterra Canada Inc. (“Viterra”). CMI Ag was incorporated in 2013 when CMI acquired Viterra’s 50% interest in the CPS business. CMI has since operated the business as a fully independent dealer in the same location. The sale of the CPS business to The Rack will allow CMI to focus on its core grain handling business, through its interest in CMI Terminal Joint Venture (“CMI JV”).
Founded in west-central Saskatchewan, The Rack is a family-owned agricultural retailer dedicated to helping farmers maximize productivity and profitability. The Rack will operate the CPS business and enhance agronomy services with their Ultimate Yield agronomy platform. Customers will benefit from continued and improved access to crop inputs and production services at a familiar and convenient location alongside CMI JV’s grain terminal.
About CMI Terminal Ltd:
CMI Terminal Ltd. is a producer-owned company that has entered into a joint venture agreement with Viterra Canada Inc. to jointly own and operate an inland grain terminal located near Naicam, Saskatchewan.
About Rack Petroleum Ltd
Rack Petroleum Ltd is an independent agricultural services retailer based in Saskatchewan, Canada, that supplies farmers with a comprehensive range of products and services including fertilizer, crop protection, fuel, agronomy consulting, and proprietary agricultural inputs. The company focuses on helping growers increase efficiency and profitability by combining research, innovation, and customized agronomic advice across its multiple retail locations serving western Canada.
Deal team: Andrew Muirhead, Chris Solda
