Monsanto Company's
(NYSE: MON)
American Seeds, Inc. (ASI) subsidiary announced today it
made five key strategic additions to its family of regional
seed companies. The additions are expected to further
bolster ASI's ability to help serve farmer- customers with a
technology-rich, locally-oriented business model.
In separate transactions, ASI
acquired four companies that are the shareowners of the CORE
Group, an association of family-based seed companies that
serve farmers throughout the Corn Belt. Those four companies
are:
In a fifth transaction, ASI
acquired
Specialty Hybrids, a leader serving the Eastern Corn
Belt.
"The ASI model is entirely
unique within this industry," said Kerry Preete, vice
president of U.S. crop production at Monsanto Company. "This
model fully utilizes the capabilities we've developed in our
technology platforms placing it squarely behind local seed
brands that can serve farmers with a unique personal touch."
"Because of its uniqueness,
there is a great deal of opportunity for ASI to grow, and
acquisitions like the CORE Group and Specialty Hybrids fit
nicely into the type of investments we're committed to make
to continue the acceleration of ASI's growth," said Preete.
The companies in the CORE
Group will continue their organizational association, as the
four companies will be combined into a single independent
operating company within ASI. Specialty Hybrids will retain
its current structure and become an independent operating
company in the ASI organization.
Monsanto acquired the five
companies in cash transactions totaling approximately $52
million. The specific terms of the individual transactions
were not disclosed. Collectively, the companies in the CORE
Group and Specialty Hybrids represent approximately 1
percent of the U.S. corn seed market.
Monsanto Company is a
leading global provider of technology-based solutions and
agricultural products that improve farm productivity and
food quality. For more information, please visit the
company's web site at
http://www.monsanto.com .
American Seeds, Inc. is
a holding company established to support regional seed
businesses with capital, genetics and technology
investments. These investments allow the operating companies
of ASI to more directly connect their customers to
significant innovations in genomics-based breeding and other
new technologies while continuing to operate autonomously
and locally, providing great services to their customers and
building the value of their brands.
