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Stackyard News May 2010

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    Wynnstay Acquires Woodheads Seeds Ltd

Yorkshire-based seed processing and supply business Woodheads Seeds Ltd (Woodheads) has been acquired by the agricultural and retail group Wynnstay.


maize planting

The acquisition, which is effective from 27th May 2010, more than doubles Wynnstay’s existing seed processing capacity, establishing it as one of the UK’s leading participants in this marketplace, and takes the Group into a new geographic region.

According to Jonathan Woodhead, who continues as Managing Director as the company becomes integrated into the Wynnstay group, the deal will ensure continuity for Woodheads’ suppliers and customers and ensure growth and prosperity into the future.

“Woodheads has grown to become a significant player in the UK agricultural seeds market, and has seen continued growth in recent years,” he said. “With the increased financial strength and inherent efficiencies that come with greater scale, we see this as an opportunity to move the business to a new level.”

Based near Selby, North Yorkshire, Woodheads, which has been trading for over 200 years, provides a comprehensive range of high quality, certified cereal and grass seed from its modern plant. In addition, Woodheads trades grain and supplies some fertiliser to farmers in the area. Woodheads has a well-established reputation for its high quality seed production and processing.

The acquisition of Woodheads significantly increases Wynnstay’s seed processing capability, more than doubling the Group’s existing seed volumes. The acquisition also expands Wynnstay’s geographic reach into a new trading area. The Directors view the Yorkshire agricultural region, with its mixed farming and bias towards arable crops, as one which offers the Group natural expansion opportunities over time. The existing management team at Woodheads will remain with the business, managing its integration within Wynnstay and maximising the cross-selling opportunities expected to arise.

Ken Greetham, Chief Executive of Wynnstay, said, “Woodheads has established a strong reputation within its Yorkshire trading region for its products and service standards. I am delighted to have agreed its acquisition and believe that addition of Woodheads to the Group establishes us as a leading processor of cereal seed in the UK.

“The acquisition is also an important one for the Group strategically. Woodheads’ presence in a key farming region in the north of England represents an opportunity for the Group to expand its other agricultural activities into new geographic markets.

“We look forward to working together to build our business.”

Wynnstay will potentially pay a consideration in excess of £3 million for Woodheads, with part of the payment deferred and dependent upon trading performance up to April 30, 2012.

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