World Grain - September 2016 - 12

NEWSREVIEW

News review
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Mennel Milling, Plaza Belmont
acquire Renwood Mills
FOSTORIA, OHIO, U.S. - The Mennel Milling Co. and Plaza
Belmont Fund III on Aug. 26 announced the acquisition Renwood
Mills, LLC from Renovo Capital and Renwood Opportunities Fund
I. Financial terms of the transaction were not disclosed.
Headquartered in Newton, North Carolina, U.S., Renwood Mills
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was founded in 1935 by G.D. Drum, who acquired what was
then known as the Maiden Flour Mill. Drum operated several
mills before building a new facility in Newton in 1961. Known as
Midstate Mills for many years, the company was put up for auction
in 2013 after what was attributed to the company's "default in the
payment of indebtedness."
Renwood Opportunities provided capital to reduce debt, increase
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lines and pursued new business partners.
Renamed Renwood Mills, the company now operates a
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company's packing facility. Renwood Mills produces the Southern
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of private label retail products, food service and custom food service
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U.S.; Dowagiac, Michigan, U.S.; Bucyrus, Ohio, U.S.; Fostoria, Ohio,
U.S.; and Roanoke, Virginia, U.S. The company produces a full range
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of 40,900 hundredweights. Additionally, Mennel Milling operates 10
country grain elevator locations handling wheat, corn, soybeans and
popcorn, and two transportation companies. The company has total
mill grain storage capacity of 7.333 million bushels.
Plaza Belmont Management Group, founded in 1998, is a private
equity group that specializes in the acquisition and development
of middle market food manufacturing and related businesses. The
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and the rest of the management team of Renwood Mills to build on the
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products and providing outstanding customer service," Mennel said.
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Weak grain margins weigh on second-quarter earnings at ADM
CHICAGO, ILLINOIS, U.S. - Net earnings at Archer Daniels
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million, equal to 48¢ per share on the common stock, down 26.4%
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was primarily due to compressed margins across the U.S. grain
handling network.
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the acquisition of the company's Romanian port, international
merchandising results were up due to stronger origination results in
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the Medsofts joint venture, ADM said.
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weak barge demand and lower freight rates.
In Milling and other, ADM Milling had a strong second quarter on
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During the second quarter ADM said it processed 13.555
million tonnes, including 8.468 million tonnes of oilseeds and
5.087 million tonnes of corn. This compared with total processed
12

volumes of 14.147 million in the same period a year ago.
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volumes and pricing, and improved margins from optimizing product
grind in the company's corn wet mills. The integration of the recent
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contributing to the company's global sweeteners and starches
portfolio and results, ADM said.
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margins continuing to be weak coming into the quarter due to high
industry inventory levels, the company decreased production.
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primarily by continued weak canola margins as well as lower soy
crush margins, which were historically high last year. The company
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due to biodiesel timing effects, despite strong results in Specialty
Fats and Oils and Golden Peanut, ADM said.
September 2016 / World Grain / www.World-Grain.com
http://www.World-Grain.com http://www.World-Grain.com
World Grain - September 2016

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