Canada's Richardson enters malt market, buys UK's Anglia Maltings
By Gus Trompiz and Rod Nickel
PARIS (Reuters) -Canada's biggest grain merchant Richardson International is entering the malt sector through the acquisition of UK-based Anglia Maltings Holdings (AMH), targeting rising demand for the beer and whisky ingredient, Richardson said on Friday without disclosing financial terms.
Anglia Maltings operates seven malt facilities in the UK, Poland, and Germany, with combined production capacity of 440,000 metric tons.
Privately owned Richardson, which has operated since 1857, has been interested for 20 years in entering the malting business, but never found the right opportunity until now, Chief Executive Curt Vossen said.
The deal fits Richardson's strategy of processing the crops it buys from farmers, ranging from canola crushing and canola oil bottling to milling durum and oats, Vossen said.
"Now that we're a food processor as well as an agricultural company, malting serves a fundamental purpose, it's a natural fit," he said in an interview.
Vossen said Richardson will buy European barley for its malting facilities.
He said Richardson will take time to understand the specifics of malting before deciding whether to expand the business.
The deal follows Monday's announcement by French agribusiness InVivo of an agreement to acquire Australia-based United Malt Group Ltd in a $1 billion deal to create the world's largest malt producer.
Winnipeg, Manitoba-based Richardson, which employs over 3,000 people worldwide, handles and processes grain and oilseed crops. In 2021, it acquired Italgrani USA, North America's largest durum wheat miller.
(Reporting by Gus Trompiz in Paris and Rod Nickel in Winnipeg, Manitoba; Editing by Chizu Nomiyama)
