ADM acquires three grain elevators in Slovakia
Posted: 4 January 2012 | ADM | No comments yet
Acquisition marks ADM’s entry into important origination market of Slovakia…
Archer Daniels Midland Company (NYSE: ADM) today announced it has acquired three grain elevators in Slovakia from the companies Palma Group a.s. and Polnonakup Hont a.s. The new assets are ADM’s first in the country.
“The acquisition of these elevators extends ADM’s origination network into Slovakia and along the Danube River, advancing our strategy to grow our reach in Central and Eastern Europe,” said Tido Boehle, ADM general manager, Origination and Terminals, Europe. “The facilities will store and supply crops for our European processing facilities and will help us better serve the local farming community by connecting local crops to export markets.”
Located in Levice, Hontianske Nemce and Secovce, in the south and east of Slovakia, the silos will enable ADM to secure additional rape and sun seed, as well as corn and wheat from new supply sources. The three facilities have a combined storage capacity of 149,000 metric tons, as well as train loading capabilities.
ADM operates oilseed processing facilities in the Czech Republic, Germany, Netherlands, Poland, the U.K. and Ukraine. In Europe, ADM also has a joint venture with Tate & Lyle—Eaststarch—which is headquartered in the Netherlands. Eaststarch operates wet corn mills in Bulgaria, Hungary, Slovakia and Turkey. The recent acquisitions complement the Eaststarch operations, as ADM can now supply corn to the Boleraz site in Slovakia.
About ADM Czech Republic
ADM began operations in the Czech Republic in 2009 when the company acquired an oilseed crushing and refining facility in Olomouc. ADM recently announced plans to expand the processing and storage at this site enabling the facility to buy more crops from local suppliers. ADM also operates a trading company in Prague that originates grains such as wheat, barley and corn, and oilseeds like sunflower and rapeseed.