Rural Supplies

PGG-Wrightson takes profit hit

[28 February/Otago Daily Times] PGG-Wrightson (PGW) has reported a decrease in profit after its soon-to-be-sold Seed and Grain division delivered an $8.6 million loss, resulting in first half profits$320,000. The sale of the division should give PGW a $210 million cash surplus for the company. Ian Glasson, PGW Chief Executive expects EBITDA for the full...

‘Sensible regulation’ needed in stock and station industry

[22 February/The Country] Federated Farmers Meat and Wool council is calling for compulsory regulation in the stock and station industry. The Council’s Chair, Miles Anderson, reported that discussion around the topic has been on and off for years but it is needed to protect all parties in the sale of livestock. It has been revealed...

Farmers must comply with society’s expectations

[19 February /Rural News Group] A key theme of the 32nd annual Fertiliser and Lime Research Centre workshop at Massey University was that compliance means meeting both requirements of the regulator and expectations of society. For example, water quality is becoming more important for individuals and companies also have to follow regulations. Speakers from Ireland,...

Seed business sale approved by commissions

[15 February/Rural Life] Approval by the Commerce Commission has been given to Denmark-based DLF seeds to purchase PGG Wrightson’s seed and grain business. This was due to the commission being satisfied that the acquisition would not be likely to substantially lessen competition in any of its markets. The Australian Competition and Consumer commission also gave...

Agria found guilty of fraudulent accounting by US Stock Exchange commission

[21 December/Stuff] Agria Corporation, a Chinese-owned company, formerly the majority owner of PGG Wrightson, has been found guilty of fraudulent accounting by the United States Securities and Exchange Commission. Following the SEC announcement, the Overseas Investment Office has ordered Agria to sell down its 50.2 per cent interest in PGG Wrightson to 46.5 per cent....

Two new faces for the Farmlands board/ Farmlands appoints John Journee to Board of Directors

[20 November/Farmlands Press Release] Farmlands have announced that Dawn Sangster and Gray Baldwin will join the Co-operative’s board having been elected by shareholders in the recent completed Board election.  Sitting Director, Rob Hewett, was also re-elected.  Chairman, Lachie Johnstone, congratulated the new arrivals to the board and thanked the unsuccessful candidates who stood for election. ...

Ballance Agri-Nutrients accused of ‘cynical ploy’ against phosphate fertiliser rival

[2 November/NZ Farmer] Ballance Agri-Nutrients is seeking a permanent high court injunction against Quin Environmentals claiming that the Reactive Phosphate Rock (RPR) that Quin advertises is not RPR. Dr Bert Quin, the MD of Quin Environmentals, said the move was a very cynical ploy to block competition in New Zealand. Dr Quin imports its phosphate...

Farmlands: profit doubled, revenue up

[1 November/ODT Rural Life] Rural supplies and services co-operative, Farmlands, has announced its annual results with revenue increasing more than 10% to $2.39 billion and profit increasing to $12.2 million. The strong financial result has enabled Farmlands to reintroduce a year-end rebate for shareholders, with $6.1 million to be distributed split between a cash payment...

PGG Wrightson shareholders vote to sell

[30 October/Stuff Business] PGG Wrightson’s shareholders have voted 96.9% in favour of selling the Group’s seed division to Danish company, DLF Seeds. The sale will see the company receive around $413 million, of which $292 million will be paid out to shareholders. Company deputy chairman, Trevor Burt, said that the PGW will remain a sustainable...

Shareholders Association voting against PGG Wrightson’s $421 million deal

[23 October/NZ Herald] The New Zealand Shareholders’ Association has said that it will vote against the deal to sell PGG Wrightson’s seed division to DLF Seeds, a Danish co-operative.  While the lobby group recognises that the offer is attractive at face value, particularly given the $292 million capital return it will trigger, it notes the...

Innovation to underpin LIC’s growth

[19 October/Rural News] LIC Board Chair, Murray King, said innovation and investment in research and development would underpin the future growth and sustainability of the New Zealand dairy industry. LIC had a R&D programme that would drive its sustainable growth and profitability into the future and deliver more value to its farmer shareholders. Mr King...

Western Sahara refugees urge PM Jacinda Ardern to step in over phosphate trade

[12 September/Stuff] Refugees made a direct plea to the Prime Minister about the long running standoff in Western Sahara. Jacinda Ardern was one of the few Westerners to have visited their camps. Representatives of the refugees visiting Wellington are arguing for New Zealand fertiliser co-operatives to cease purchasing minerals from the region. Phosphate taken from...

Skellerup makes record profit

[16 August/Radio NZ] Skellerup, a rubber-goods maker, has reported a record profit largely due to strong sales growth in New Zealand and other parts of the world. Its net profit increased 23 percent to $27.3 million. The industrial division’s underlying profit rose 21 percent. The agri division further achieved a record profit growth of 15...

PGG Wrightson net profit down, performance strong

[15 August/The Country] PGG Wrightson posted full-year operating EBITDA of $70.2 million, which was an increase on last year’s figure of $64.5 million. Net profit after tax of $18.9 million was down on last year’s $46.3 million. PGG Wrightson Deputy Chairman, Trevor Burt, said the significant increase in EBITDA was pleasing. The company declared a...

Co-op directors getting harder to find: Farmlands chairman

[9 August/NZ Herald] Farmlands Chairman, Lachie Johnstone, said attracting directors for cooperatives was becoming harder. Three seats were up for election as two long serving directors stood down and Silver Fern Farms Chairman, Rob Hewett, seeks another term. Joe Ferraby and David Jensen are standing down. Nominations close on 13 September, and candidates need to...

PGG Wrightson to sell seeds division for $421m

[6 August/Stuff] PGG Wrightson Limited has agreed to sell its seed division to DLF Seeds for $421 million. The deal was subject to shareholder and Overseas Investment Office approval. PGG Wrightson said the sale amount exceeded the book value of the net assets of the division. The deal followed a review of the company. It...

Ballance boosts balance sheet

[30 July/Farmers Weekly] Ballance Agri-Nutrients will keep a portion of its earnings to boost its balance sheet following three years of rebate payments that pushed it to a bottom line loss. Chief Executive, Mark Wynne, reported a gross trading profit of $71.3 million, up from $56.8 million a year ago. The co-op will keep the...

Farmlands Co-operative wins KPMG Global Customer Experience Excellence (CEE) Award

[13 July/Farmlands] Farmlands was named as the New Zealand winner of KPMG’s Global Customer Experience Excellence Award. It was one of 14 winners worldwide, and joined an elite group of iconic brands that included Singapore Airlines, Emirates and Apple. Farmlands Chief Executive, Peter Reidie, said the accolade was a vote of confidence in the power...

Tractor sales could reach a record high

[9 July/The Country] New Zealand Tractor and Machinery Association President, John Tulloch, said sales of tractors were up more than 25 percent on this time last year. He added sales were back near 2014 levels, and there was also increased spending within the lifestyle, viticulture and horticulture markets. He noted it was rare to see...

Global seed group confirms PGG Wrightson interest

[5 July/NBR] Barenbrug Group confirmed its interest in PGG Wrightson’s seed unit. PGG Wrightson had hired First NZ Capital and Credit Suisse Australia to help with a strategic review. This can be seen as a move to invite offers from buyers for part or all of the company. Barenbrug is an innovative market leader with...

Hundreds of Hawke’s Bay farmers in line for Ravensdown rebate

[18 April/Hawkes Bay Today] Over 500 farmers around Hawke’s Bay were given an indication of how much they can expect to receiving from Ravensdown. They announced an early interim rebate of $17.50 cash per tonne of eligible fertiliser payable to farmer shareholders across the country. Ravensdown Chairman, John Henderson, said it demonstrated the co-operative’s strong...

Farmers facing toxic swede harvest

[16 April/NZ Herald] Farmers in Southland and Otago have found themselves growing crops of potentially toxic swede, following a human error by PGG Wrightson, a seed wholesaler, which meant more than 500 farmers were inadvertently growing the same variety of swedes that were linked to the deaths of hundreds of dairy cows in 2014. Farmers...

Shareholders approve simplified share structure for dairy genetics company

[15 March/NZ Farmer] After receiving approval from its shareholders, Livestock Improvement Corporation (LIC) will go forward with its proposal to simplify its share structure. The proposal combines the existing two share classes together into a single class to remove potential conflicts between co-operative and investment shareholders. Of the attendees, 87.69 percent of co-operative and 83.39...

PGG Wrightson ‘open to options’ amid strategic review

 [15 March/The Country] PGG Wrightson was open to options after hiring First NZ Capital to complete a strategic review of the business. It has been rumoured in the Australian Financial Review that the merchant bankers were getting non-disclosure documents signed by interested parties ahead of a planned auction of the company, which is controlled by...