Viserion Grain, LLC, has entered into a definitive agreement to acquire 11 grain elevator facilities from Zen-Noh Grain Corporation. Zen-Noh is divesting the facilities in conjunction with its proposed acquisition of multiple grain elevators from Bunge. The transaction is subject to Department of Justice approval.
Viserion Grain is a newly formed subsidiary of Viserion International Holdco, LLC, backed by Pinnacle Asset Management, L.P. Viserion International Holdco is a Colorado-based global agricultural merchant. Pinnacle is a $3.2 billion private, New York-based alternative asset management firm.
The initial agreement between Zen-Noh Grain and Bunge included 35 operating assets. To help secure regulatory approval, eight Bunge assets and three assets of Zen-Noh Grain's affiliate, Consolidated Grain and Barge Co., have been selected for divestiture and are pending sale to Viserion. CGB Enterprises is headquartered in Covington, Louisiana, and its wholly owned subsidiary, Consolidated Grain and Barge Co., operates nearly 100 grain facilities across the Midwest.
The grain elevators involved in this transaction are located across five states along the Mississippi and Ohio Rivers and have a total storage capacity of approximately 25 million bushels. The facilities being acquired by Viserion are located in Huffman, Helena and Osceola, Arkansas (Riverside and Landside); McGregor, Iowa; Savanna and Shawneetown, Illinois; Lake Providence and Lettsworth, Louisiana; and Caruthersville and Cottonwood Point, Missouri.
"These facilities located across major inland U.S. waterways are integral to expanding our agricultural trading platform and grain handling capabilities," said Aaron Wiegand, Chief Executive Officer of Viserion International. "We believe that the addition of these assets will accelerate our growth and provide a strong foundation to market grain and oilseeds directly to domestic customers and exporters."
Jason M. Kellman, Managing Partner and Chief Investment Officer of Pinnacle, added, "These facilities fit squarely into our growing physical commodities portfolio and expand our ability to participate in the grain and oilseeds supply chain directly."
The transaction is subject to regulatory approval and is contingent upon the closing of the Zen-Noh's previously announced acquisition of Bunge's facilities. Zen-Noh Grain Corporation is the U.S. subsidiary of the National Federation of Agricultural Cooperative Associations of Japan. Both transactions are expected to close in late spring 2021.
Bunge is headquartered in St. Louis, Missouri, and has more than 23,000 employees working in more than 350 facilities in more than 40 countries.