Genesis Grain & Fertilizer releases new offering
SASKATOON, Feb. 26, 2015 – Genesis Grain & Fertilizer Limited Partnership (Genesis) today released a new offering memorandum (OM) as it begins to raise capital from farmers for its fertilizer distribution business.
Genesis is a farmer-owned grain handling and fertilizer distribution business led by Farmers of North America (FNA) and AgraCity Crop & Nutrition (AgraCity). The fertilizer distribution side of the business is a key supporting piece of ProjectN – the initiative to build a nitrogen fertilizer manufacturing plant, recently announced as located in Belle Plaine, Saskatchewan.
“Creating opportunities for farmers to invest in and own part of the value chain, including this OM for Genesis, has been part of the evolution of FNA and AgraCity,” says Genesis spokesperson Bob Friesen.
The OM for fertilizer distribution is the second of three phases in the plan for farmers to accrue as much of the fertilizer margin from manufacturing to the farmgate as possible. The three phase strategy begins with leveraging the expertise of AgraCity’s fertilizer desk for the procurement of and distribution of various fertilizers to farmer members prior to the build-out of supercenters. The second phase is an opportunity for farmer members to invest in the supercenters used for distribution which comes with the launch of this OM. And the final phase is ProjectN, the farmer owned fertilizer manufacturing plant for which the distribution supercenters are crucial.
“This announcement is very important to us and for our members,” explains Friesen. “We announced the creation of Genesis on October 16, 2014 and were working very quickly to raise the necessary funds from farmers through an OM which at that time included an opportunity for farmers to acquire a majority partnership share of the CWB, but the results of that opportunity have been widely reported,” explains Friesen. “FNA and AgraCity will continue to determine if there are ways to work with the CWB to ensure maximum efficiency of the use of farm capital,” noted Friesen. He continues, “We will also be working to identify any other opportunities to capitalize on grain handling opportunities.”
The details of the OM will be made available to accredited investors only. The core of the investment is in fertilizer distribution sites that are strategically located to serve members and facilitate developing further business opportunities.
Genesis Grain & Fertilizer is a Limited Partnership and a separate legal entity designed to be a globally competitive farmer-owned grain marketing, handling & fertilizer distribution business.
Participation is only available to accredited investors who are farmers and FNA Members. Visit www.genesisgrainandfertilizer.ca to find out more.
For more information, contact:
Bob Friesen, VP Government Relations
Tel: (613) 230-2222
Cell: (613) 852-9711