Alltech has acquired 100 percent of the outstanding shares of Masterfeeds, Inc., in a share purchase agreement with Ag Processing Inc (AGP). Masterfeeds, a commercial animal nutrition company in Canada, is now part of the Alltech family of companies, which includes 12 other companies that Alltech has acquired globally since 2011.
"Masterfeeds has long been a partner and friend of Alltech. With them fully on board now as an Alltech company, together we can narrow our focus and accelerate on-farm performance," said Dr. Pearse Lyons, founder and president of Alltech. "Between Alltech's primacy in science and Masterfeeds' robust network of farm-focused team and dealers, we have a winning combination for moving Canadian agriculture forward to greater farm and ranch efficiency and profitability."
The addition of Masterfeeds to Alltech's existing Canadian operations and other Canadian acquisition, EMF Nutrition, brings the companies' total presence to approximately 700 Canadian employees. Together they operate 25 feed manufacturing and premix facilities, nine retail locations and seven distribution centers in a business spanning the entire country. Alltech has a strong presence in all regions of the world with more than 4,700 employees worldwide.
"Never in our 86-year history has our future been as exciting as it is now that we have joined the Alltech family," stated Rob Flack, president and CEO of Masterfeeds. "Alltech is at the forefront of science in everything they do. This strengthens our ability to deliver on-farm nutrition solutions like never before."
Alltech and Masterfeeds have identified possible growth opportunities together, which may include nutritional technologies and feeding programs for antibiotic-free formulation, feed efficiency, organic minerals, algae, mycotoxin management and crop protection and performance. Masterfeeds also has equine and pet product lines, which may be further developed with Alltech nutritional technologies.
Masterfeeds will continue to be headquartered in London, Ontario, Canada, and led by its current Chief Executive Officer, Rob Flack. In addition, Alltech's own entity, Alltech Canada, remains headquartered in Guelph, Ontario, serving the entire Canadian feed industry.
Alltech has more than tripled its sales in the last three years and is on target to achieve $4 billion USD in sales in the next few years. Since 2011, Alltech has completed 13 acquisitions successfully. This is Alltech's second acquisition of a company headquartered in Canada, following the success in acquiring EMF Nutrition in 2013.
"The pressure on agriculture today requires the feed business to take an aggressive approach to continuous improvement of nutritional technology," said Steve Bourne, vice president of Alltech. "Our number one focus is and always will be: How do we improve profitability and efficiency for our customers on the farm and the ranch? This commitment defines our strategy and underscores why we are moving forward with trusted companies like Masterfeeds."