ConAgra Sells UAP, Parent Firm of UHS

ConAgra Foods, Inc. has agreed to sell United Agri Products (UAP), its U.S. and Canadian crop, and non-crop inputs business to Apollo Management, L.P.

Included in this sale were the non-crop distribution businesses of United Horticultural Supply, UAP Timberland and York Distributors, which serve the professional turf and ornamental, structural pest control and vegetation management/forestry industries. The transaction is expected to close before December 31st.

“United Agri Products is strongly positioned to continue its record of growth, increasing profitability and world class service to its customers,” said Kenny Cordell, UAP Chief Executive Officer. “We, as a team, along with our dedicated employees, have accomplished a great deal in recent years and believe that with the expertise provided by Apollo can realize this company’s full potential.”

Headquartered in Greeley, Colo., UAP had annual sales of approximately $2.5 billion during its last fiscal year, primarily from the distribution of crop protection chemicals, fertilizer, seed and other non-crop products throughout the North American market and is a leader across the spectrum of its product offerings.

Apollo, headquartered in New York, is a well-known investment company with holdings in many companies including Compass Minerals, Quality Distribution and AMC Entertainment, Inc.

“The sale of UAP will not have a negative impact on our non-crop segments,” notes Curtis Clark, the company’s director of business development and marketing. “In fact, the new ownership of UAP will allow us greater flexibility and the ability to act more quickly on the opportunities we have before us in our non-crop business. We view this area to be one of strategic importance to our overall growth and the management within UAP and these markets view this as a positive step in maximizing our business plan.”

The ownership change will not affect current organizational or logistical structure.