AGROTAIN International announced today that it has signed a definitive agreement to sell its assets to Koch Agronomic Services, LLC, a subsidiary of Koch Fertilizer, LLC. The transaction is subject to regulatory approval and certain other closing conditions. The deal is expected to close in the third quarter.
“The AGROTAIN business has experienced great success and such rapid growth that additional resources are needed to meet demand,” said Mike Stegmann, president of AGROTAIN International. “As Koch has a strong presence in the fertilizer business, they approached us about possibly working together. We saw how their resources could help bolster our position as a market leader in the enhanced efficiency fertilizer business and it evolved into an offer to purchase.”
“AGROTAIN International is an outstanding company with a long history of providing value-added products and a dedicated, customer-focused workforce,” said Steve Packebush, president of Koch Fertilizer. “The organization truly has an entrepreneurial spirit that lends itself well to take advantage of significant growth opportunities within the enhanced efficiency fertilizer market.”
Packebush added, “Koch Agronomic Services’ vision is to bring enhanced efficiency fertilizers and value-added technologies to the marketplace. By combining the assets, products, research capabilities and global footprint of Koch Fertilizer and Koch Agronomic Services with AGROTAIN International, I believe we will offer our customers the most comprehensive portfolio of value-added products on the market today.”
News of the agreement was shared with AGROTAIN International employees in a company-wide conference call. During the call, Stegmann expressed his sincere desire to continue growing the business and said the potential deal with Koch was the best way to provide for a successful future. He also clarified that Lange-Stegmann Company was not part of the purchase offer and would continue its terminal operations in St. Louis.
Source: AGROTAIN International, LLC