Seymour-based Premier Companies and Huntingburg-based Superior Ag have announced that they are exploring the possibility of a merger.
The two farmer-owned ag cooperatives say that such a move has been approved by their respective boards of directors.
“This decision didn’t come out of a place of necessity, but instead from a strategic position of commitment to innovation and even deeper value for their farmer-members,” according to a joint press release by both companies.
“After initial discussions, the Boards of Directors from Superior Ag and Premier see potential and clear benefits that we need to explore,” explained Adrian Stunkel, Chairman of Superior Ag Board of Directors. “Our goal with this announcement is to keep our membership updated and create an open dialogue to share information as this process progresses.”
Both companies say that a unified cooperative could bring substantial benefits including increased buying power, better market access and consistent supply, expanded employee opportunities, financial cost savings, and greater reinvestment into facilities and operations.
“Conversations with the Superior Ag Board have gone well. There are clear synergies as well as identifiable advantages to our member-owners as well as employees as we consider a possible future together,” said Fred Uhl, Chairman of the Premier Ag Board.
Moving forward, both Boards will begin a formal study to assess potential synergies of a combined organization. Additional details about the discussion timeline and opportunities for member input will be shared in the coming weeks.
Premier Companies serves about 3,800 farmer-members across Indiana, Ohio, Kentucky and Tennessee. Meanwhile, Superior Ag has about 2,700 farmer-members throughout southwest Indiana, northern and central Kentucky, and neighboring parts of Illinois.
Sources: Premier Companies, Superior Ag.
