farmland co-op Members will vote

Farmland Co-op Members to Vote on Potential Merger with Agtegra

Dear Agtegra Cooperative Member:

We notified you in April that the Board of Directors of Farmland Co-op Inc. had reached out to us with an interest in merging with Agtegra Cooperative. In the weeks since, our two cooperatives have performed due diligence and a review of the merger opportunity and potential benefits to the two cooperatives.

We are pleased to share with you that the Boards of Directors for Farmland Cooperative and Agtegra Cooperative have unanimously decided to proceed to a vote of Farmland’s membership to merge, under the terms and conditions of the merger agreement. If the merger agreement is approved and adopted by the members of Farmland Co-op Inc., Farmland would merge with Agtegra.

As you may recall, Farmland is a stock cooperative located in Oakes, North Dakota, an area where we already provide grain and agronomy services. Farmland has approximately 11 full-time employees and operates an energy business providing its members and customers with propane and refined fuels, as well as a convenience store and tire shop. Farmland has an estimated 140 members.

The next step is for the Farmland leadership to meet with their members later in July to vote on the merger agreement. If the Farmland members vote to join with Agtegra, it will not be necessary for Agtegra members to vote on this transaction. Also, we’ve been very clear in our discussions with Farmland that our goal is not to be in the c-store business and we would seek a good local owner for that business.

We are excited about this potential opportunity to expand Agtegra’s energy business and look forward to working with Farmland’s members, patrons and employees. Having Farmland join Agtegra would allow us to build on their expertise and enhance our fuel offering to our North Dakota customers. It also would allow us to increase our capabilities in an area that we already serve.

Feel free to contact me or your Agtegra directors with any questions.


Sincerely,
Chris Pearson
CEO