The board of directors for West Central Ag Services has delayed a member vote on a potential merger.
In May, CHS and West Central Ag Services, a cooperative based in Ulen, Minnesota, signed a nonbinding letter of intent for West Central Ag Services to join CHS to better serve owners and customers and position the cooperative system for future growth.
At that time, Duane Brendemuhl, West Central Ag Services Board president and chair, said “This proposed transaction provides an opportunity to bring more value to our farmer-owners and compete more effectively with other local ag companies, while positioning us for the future success of a combined cooperative through efficient, globally connected supply chains.”
On Wednesday, West Central alerted members that a November 7, 2024 patron meeting would be postponed until November 26, 2024 in order to further evaluate an unsolicited bid to be acquired by The Arthur Companies, based in Arthur, North Dakota.
On Tuesday prior to West Central’s decision to delay, Arthur Companies CEO James Burgum told KFGO News, “By the terms of their agreement, they were unable to visit with us here over the summer. So we understand that, you know, it’s just part of a merger process. But I think for us, you know, when it became clear that we had a superior proposal, that we felt was a better option for growers’ bottom line, we wanted to bring that directly to patrons.”
In a message to West Central patrons, Burgum outlined what is different about the proposals online at ArthurAdvantage.com
West Central Ag Services was founded in 2000 as a multi-location agricultural retailer. The Arthur Companies, founded in 1906, operates grain and agronomy businesses in North Dakota and Idaho.
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