Bunge Limited is selling 35 of its grain elevators.
Bunge and Zen-Noh Grain Corporation have reached a tentative agreement for the elevators. Terms have not been released and the sale is subject to customary closing conditions.
Emporia has a soybean crush facility, not an elevator, so Bunge spokesperson Deb Seidel says is not involved in the sale. Seidel says most of the elevators in the sale are located along the Mississippi River.
The move is being listed as a significant reduction in Bunge’s grain origination network. However, Bunge CEO Greg Heckman says the deal will let the company “operate more efficiently and reinvest in higher returning areas of the company while reducing costs and strengthening our balance sheet.” Bunge also says supply agreements with Zen-Noh will lead to “a larger and stronger origination and distribution network.”
