ForFarmers expands coproducts portfolio in latest acquisition
The move aligns with its goal of boosting sustainability and affordability in food production through circularity approaches, transforming non-human-consumable products into nutritious animal feed.
The deal includes Van Triest’s buying and selling activities, along with its storage, transshipment facilities, and transport assets.
Established in 1959, Van Triest is a family business based in Hoogeveen. The company holds purchasing agreements with various industries, including breweries, dairy, sugar, bioethanol, and potato processing, and collaborates with numerous farmers for roughage.
It supplies around 3,500 farmers across the Netherlands, Belgium, and Germany, trading over one million tons of residual flows annually. The company boasts robust logistics, storage, and transshipment infrastructure, and employs 90 people.
Growth opportunities
The compound feed producer says the integration of Van Triest’s locations and customer base with its own operations promises significant growth opportunities. Operating under the name CirQlar, ForFarmers is already a significant supplier of co-products and residual flows, with facilities in Lochem and Heijen.
“By combining these activities, we can better serve our coproduct suppliers and offer our customers a wider and more diverse range of products. This transaction will enhance our collaboration with suppliers of residual flows and co-products, thereby making the food chain more sustainable and efficient,” Ilse Niehof-Duivelshof, corporate and legal affairs director, ForFarmers, tells FeedNavigator.
The purchase price will be paid entirely in cash, though further financial details remain undisclosed. Post-transaction, Van Triest’s management team will stay actively involved, ensuring a smooth transition and continuity of operations.
When asked about any anticipated challenges in the integration process, Niehof-Duivelshof says there would be an integration team with representatives from both organizations to prepare and design and thus streamline the process.
However, the deal is not yet finalized; it is subject to the approval of the Netherlands Consumer and Market authority (ACM). “Completion of the transaction is expected in the second half of 2024.”
Volume growth and profit hike
In May, ForFarmers reported like-for-like compound feed volume growth and an increase in operational profitability, with the CEO, Pieter Wolleswinkel, also noting that the integration of Polish feed company, Piast, into ForFarmers Poland was progressing well.
The reorganisation of UK operations is also on schedule. "These developments show that we are on the right track with our strategic initiatives. This strengthens our confidence in achieving our set return target. At the same time, we continue to invest in sustainable solutions so that ForFarmers can play its role in a future-proof food system."
