Grain handling equipment firm Ag Growth International (AGI) has brought another Prairie manufacturer into its bin with a deal to buy the GrainVac product line.
Winnipeg-based AGI closed its deal Monday to buy the GrainVac line from Swift Current, Sask. manufacturer Rem Enterprises, which has made and marketed GrainVacs for about 40 years.
The manufacturing of GrainVac equipment will relocate, but not far: AGI plans to set up the GrainVac business at its own Batco Manufacturing plant at Swift Current.
Manufacturing and sales will shift over to AGI “immediately, with no planned interruption in business,” AGI said Monday. Financial terms of the deal were not released.
AGI, whose other Prairie businesses include Wheatheart, Westfield, Twister, Grain Guard and Franklin Enterprises, bought and renovated the former UFR Urban Forest Recyclers plant in Swift Current early last year for Batco, which makes crop conveyor systems.
The UFR plant more than tripled Batco’s available factory space to 114,000 square feet, with “the potential to double capacity.” [Related story]
“The REM GrainVac is the market leader in grain vacuums, known for product innovation, quality and performance, and the acquisition fits well with our strategy of acquiring top brands to complement our existing businesses,” AGI CEO Gary Anderson said Monday in a release.
Rem recently rolled out a new GrainVac model, the redesigned VRX, with which with the business is “well positioned for continued leadership in this area,” AGI said. Rem has said the VRX “sets all new standards in efficiency, speed and durability.”
GrainVacs are already sold across North America and internationally through a distribution network “similar” to those of AGI’s current lineup of portable grain handling products.
Rem, which has operated at Swift Current since 1966 and also runs a branch plant at Shenandoah, Iowa, also makes the Delta Flexible Harrow line as well as custom wire and steel products and centrifugal and inline fans and blowers. The company also offers custom manufacturing services for shortline companies.
Frank Rempel, Rem’s founder, recently sold his stake in the company to its general manager, Bob Sonntag, who now owns 100 per cent of Rem’s shares. — AGCanada.com Network