Ag Growth International announced the acquisition of Mitchell Mill Systems Canada Ltd., a producer of material handling equipment, and its US affiliate Mitchell Mill Systems USA in a press release Monday.
“The acquisition of Mitchell expands AGI’s commercial business into eastern Canadian [sic], expands our reach in the US while also providing an expanded product offering,” AGI’s chief executive officer Tim Close said in the company’s release. “The expanded product lines move AGI into new markets and we welcome new customers in the adjacent grain and food processing space. We are very excited to have the whole Mitchell team joining AGI in pivotal roles as we extend our capabilities into new markets.”
Mitchell, based in Newton, ON and operating a second facility in Joplin, MO, makes equipment used in grain, fertilizer, animal feed, food processing, and industrial applications, including conveyor systems, bucket elevators, screw conveyors, and drag conveyors.
AGI said that the purchase “will be completed at similar metrics to AGI’s recent North American acquisitions.” Mitchell’s revenue for the fiscal year ending Feb. 28, 2016 was $30 million, according to the release. Funding for the acquisition is drawn from AGI’s existing revolving credit facility.