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  • By Lynda Kiernan-Stone, Global AgInvesting Media

Ag Group, Cefetra, Makes Takeover Bid for Wessex Grain

Agricultural group, Cefetra, has made a takeover bid to acquire Wessex grain, one of the largest grain traders in the UK.

Wessex Grain operates across South and South West England as an independent grain buying business, trading approximately 450,000 tons per year in combinable crops.

The offer was unanimously approved by the Wessex Grain board, however, it needs to be approved by a minimum 75% of its shareholders, which are comprised of more than 200 grain farmers.

"Grain trading has changed significantly in recent years and we are recommending acceptance of the offer,” said Simon Wilcox, Wessex Grain managing director. “Not only will our shareholders benefit from an immediate cash return but, vitally, the deal will ensure Wessex Grain retains and enhances its position as a strong regional grain buyer on the back of Cefetra's access and relationships to key markets both within the UK and across Europe."

Up until now, Cefetra has been focused on imported products, but with the addition of Wessex Grain, it hopes to strengthen its activity within the UK domestic market.

“We see great potential with the two companies working together and we plan to build upon the success of our existing distribution agreement to expand both the tonnage and the range of operations for Wessex Grain,” said Andrew Mackay, Cefetra managing director.

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