Investor Group Finalizes Acquisition of Grain Handler CWB, Renames it G3 Canada
G3 Global Grain Group, the recently formed joint venture between Bunge, Ltd, and Saudi Agricultural and Livestock Investment Co. (SALIC), has announced it has closed on its transaction to acquired Canadian grain marketer, CWB, and has renamed the company G3 Canada Ltd.
For decades CWB, or the Canadian Wheat Board, held a leading role in the global grain space with a government-sanctioned monopoly of the marketing of Canada’s milling wheat and barley crops. In 2012 the Canadian government dismantled the monopoly, and CWB operated as a small independent grain operation until April of this year when Bunge Ltd and SALIC paid C$250 million for a 50.1% stake in the company.
The newly formed G3 Canada combines the assets of CWB with those of Bunge Ltd.’s Canadian grain assets, and creates a vehicle through which the two investor companies can build new grain handling facilities across the Canadian Prairies, Port Metro Vancouver, and on the country’s Pacific Coast.
In addition, the new company has plans in the pipeline to build a new port terminal at Hamilton, Ontario with storage capacity for between 50,000 and 60,000 tons of grain.
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