Business
Green Plains completes the sale of 50% of Green Plains Cattle Company for $77 Million to AGR Partners TGAM Agribusiness Fund Holdings-B LP and StepStone Atlantic Fund LP
OMAHA, Neb., Sept. 09, 2019 (GLOBE NEWSWIRE) -- Green Plains Inc. (NASDAQ:GPRE) and a group of investment funds that include AGR Partners, StepStone Group,
About this update from Green Plains, Inc.
[{"type":"text","content":"OMAHA, Neb., Sept. 09, 2019 (GLOBE NEWSWIRE) -- Green Plains Inc. (NASDAQ:GPRE) and a group of investment funds that include AGR Partners, StepStone Group, and several of their respective affiliates, today announced that they have formed a joint venture to own and operate Green Plains Cattle Company LLC. As a part of the joint venture, these investment funds have purchased 50% of the membership interests of Green Plains Cattle Company from Green Plains Inc. for approximately $77 million plus closing adjustments. The transaction was signed on September 6, 2019 with an effective date of September 1, 2019.\n “We are excited about completing this transaction and the quality of investment partners who have aligned with us for the continued growth of Green Plains Cattle Company. This further validates the quality of the business we have built over the last several years, and allows us to form new relationships with long term investors,” said Todd Becker, president and chief executive officer of Green Plains Inc. “This strategic partnership demonstrates our ongoing commitment to unlocking value for our shareholders,” added Becker. “The completion of this transaction also has a positive impact on our balance sheet by adding $77 million of cash and deconsolidating working capital debt associated with our cattle business which totaled approximately $335 million at the end of the second quarter,” said Becker. “We have significantly reduced our debt over the past year and between this transaction and paying off our $500 million term loan, we are now back to a net debt positive position against our convertible bonds.” “Green Plains Cattle Company has developed a solid reputation in the cattle feeding industry and our management team and employees are excited to be part of this new venture,” stated Joel Jarnagin, president and chief executive officer of Green Plains Cattle Company. “We are very optimistic for what the future holds and look forward to a successful long-term relationship as we continue to grow the business.” “AGR is pleased to partner with Green Plains and to work with Joel and the dynamic team he has assembled at Green Plains Cattle Company,” said Daniel Masters, Managing Director of AGR Partners. “We look forward to being a supportive partner in the continued growth of Green Plains Cattle Company.” About Green Plains Inc.Gree...