ADM, Cargill Reach Deal to Swap Midwest Grain Elevators
Deal expected to close later this summer
Large U.S. grain merchants Cargill Inc. and Archer Daniels Midland Co. (ADM) have reached a deal to swap some of their grain elevators in the U.S. Midwest in a deal expected to close later this summer, both companies said on Thursday.
According to Reuters, the deal includes a sale by Cargill of its Mount Vernon and Evansville, IN, elevators on the Ohio River to ADM.
In return, ADM will sell its Beardstown, Naples and Keithsburg, IL, elevators along the Illinois River to Cargill, representatives from both companies said.
The deals would effectively reduce the number of buyers competing for farmers’ crops in some areas.