Benson Hill to acquire US soy crushing operation to scale plant-based protein ingredients
14 Sep 2021 --- Food tech company Benson Hill has agreed to purchase a soybean crushing facility from Indiana-based Rose Acre Farms. The investment is part of plans to scale the production of soybean products, including Ultra-High Protein soybean ingredients.
Describing this as “a significant milestone,” the company – which unlocks the natural genetic diversity of plants with its food innovation engine, CropOS – says the acquisition is part of its growth plan.
It will be funded through the expansion of Benson Hill’s debt facility with Western Technology Investment.
The company also highlights how this acquisition will solidify its value chain position to support the production of a robust portfolio of proprietary, non-GMO, identity-preserved and sustainable soy protein and oil ingredients.
The investment also closely follows Benson Hill’s announcement in May that it was going public by merging with a special-purpose acquisition company (SPAC), Star Peak Corp II. The move may see the agri-tech firm valued at around US$2 billion.
Unlocking natural genetic diversity of plants
Benson Hill’s integrated supply chain strategy combines improved crop innovation through its CropOS technology platform with traceable field to fork production.
“The acquisition of the Rose Acre Farms soybean crushing facility represents an important next step in the execution of our playbook for growth,” says Bruce Bennett, president, ingredients at Benson Hill.
“This targeted investment can ultimately provide the production capacity to deliver on our integrated business model for commercialization and scaling of our innovative soybean products.”
Plant protein growth
The value of the global plant protein market could surpass US$162 billion by 2030.
The facility will process Benson Hill’s first commercial plantings of the Ultra-High Protein soybeans, harvested this autumn.
The company recently exceeded its target to double contracted soybean acres, delivering a 133 percent year-over-year increase for the 2021 growing season.
“This reflects continued momentum to advance our vision for a more modern, resilient and sustainable food system, starting with seed that is better from the beginning,” adds Matt Crisp, CEO of Benson Hill.
“Coupling production capacity like this with genomic innovation unlocks enormous value for both farmers and consumers beyond what has been possible through the traditional commodity system.”
The transaction is subject to customary closing conditions and is expected to close by the end of September. Financial details have not been disclosed.
Edited by Gaynor Selby
