U.S. chemical distribution giant Univar has bought its way further into the Prairie crop input business by taking over Saskatoon-based fertilizer wholesaler Nexus Ag.
Nexus Ag, in business in the West since 1997, deals in various North American companies’ specialty fertilizers, potash, phosphates, liquid and soluble nutrients and micronutrients such as copper, zinc and boron, and markets its own blends under brands such as Nexus and YieldMax.
Asked Tuesday, Illinois-based Univar wouldn’t disclose the financial terms of the deal, which also gives it Nexus’ six regional warehouse sites across Western Canada.
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Adding the Nexus Ag assets to Univar’s operations “enhances our existing macronutrient and crop protection inputs by adding a proprietary line of micronutrients, macronutrients and specialty fertilizers,” Mike Hildebrand, president of Univar Canada for agriculture and environmental sciences, said in a release.
The deal further expands the cross-Canada footprint for Univar, whose Canadian agriculture operations are based in Winnipeg. The company in October bought a pair of ag input warehousing and distribution firms in southern Ontario.
Future Transfer and BlueStar Distribution, combined with Nexus Ag and Univar’s Fort Storage arm, put Univar’s total Canadian fertilizer assets at 16 facilities in four provinces with over 1.2 million square feet of warehouse space — the most in the sector in Canada, the company said.
“This, together with our leading distribution and services network in the region, further strengthens Univar Agriculture’s ability to provide customers in Canada with a complete product and service offering that covers the entire growing cycle from start to finish,” Hildebrand said.
With the Nexus Ag deal complete, Univar staff will now work on “determining the best opportunities for the integration of the two companies,” a spokesperson said by email Tuesday.
“All areas of operations” will be represented in the integration plan, including the combined warehouse footprint of both Univar and Nexus, the company said.
Meanwhile, the company said, “our first priority remains on servicing our customers through our existing channels in preparation for the upcoming growing season.” — AGCanada.com Network
