The Maschhoffs to buy Land O'Lakes swine production assets
The transaction is expected to be completed by the end of the first quarter 2005.
17/02/05 Land O'Lakes, Inc. and The Maschhoffs, Inc. have announced an agreement for Maschhoff West LLC to purchase substantially all of Land O'Lakes swine production assets. Terms of the agreement were not disclosed, but officials of the two organizations indicated they anticipate the transaction will be completed by the end of the first quarter 2005.
The transaction involves approximately 60,000 sows, associated inventory, related market hog production, and contract production facilities in Oklahoma, Missouri, Iowa and Illinois, along with swine production facilities in Oklahoma. Representatives of Land O'Lakes and the Maschhoffs termed the deal a very positive match, citing the complementary goals and values of the two organizations.
Once the transaction is complete, Maschhoffs will be one of the nation's largest, independent, family-owned swine production operations, with more than 110,000 sows. In making the announcement, Ken Maschhoff indicated he expected a smooth and seamless transition.
Under the terms, Land O'Lakes will continue to hold all current aligned system contracts, supplying them through an agreement with the Maschhoffs.
Land O'Lakes, Inc. is a national farmer- owned food and agricultural cooperative with annual sales of more than $7 billion. Land O'Lakes does business in all 50 states and more than 50 countries. It is a leading marketer of a full line of dairy-based consumer, foodservice and food ingredient products across the United States; serves its international customers with a variety of food and animal feed ingredients; and provides farmers and ranchers with an extensive line of agricultural supplies (feed, seed, crop nutrients and crop protection products) and services.
The Maschhoffs, Inc., is a pork production management company headquartered in Carlyle, Illinois. As a family-owned business, they have over 100 years of experience in pork production. They currently manage over 50,000 sows and associated market hog production in Illinois, Indiana, and Iowa. The company focuses on creating environmentally and economically sustainable pork production systems by networking with more than 150 other independent farm operations.
