ADM acquires major stake in Industries Centers

Archer Daniels Midland (ADM) has signed an agreement to acquire a controlling stake in Israeli-based Industries Centers, which imports and distributes agricultural feed.

Financial details of the deal have not been revealed by either company.

With its 45,000t storage facility at the Port of Ashdod, Industries Centers has a diversified customer base in Israel.

ADM agricultural services president Joe Taets said: “With this investment, we are continuing to expand and enhance our core value chain, including our ability to deliver direct to the customer.

“Industries Centers offers an entry point into a strong, established Israeli market. We have worked with them in the past to help us import our own products into Israel, and we know them as an experienced, capable partner.”

Subject to regulatory approval in Israel, the transaction is slated for completion in the coming months.

Taets further added: “This is a great opportunity for us to reach new customers with a wide array of products, from soybean meal to grains to feed ingredients.

“It also represents a further expansion of our destination marketing capabilities, which remain a strategic priority as we work to enhance shareholder returns by extending our value chain to the end customer.”