The Andersons Inc. said April 29 that it has acquired Douglass Fertilizer & Chemical Inc. as an addition to its Plant Nutrient Group. Douglass Fertilizer, based in Maitland, Fla., is primarily a specialty liquid nutrient manufacturer, retailer, and wholesaler. It serves a variety of agricultural and, to a lesser degree, industrial and turf markets, primarily in Florida, the southeast U.S., and the Caribbean.
“Douglass Fertilizer will be an excellent addition to our Plant Nutrient Group’s product and service offering,” said Andersons CEO Mike Anderson. “Douglass Fertilizer will nicely diversify the group’s product line offering and expand our market outside the traditional Midwest row crops and into Florida’s rich specialty crops.”
Financial terms of the sale were not disclosed. Sources with both companies said Douglass Fertilizer’s 100 plus employees would all retain their positions. Douglass Fertilizer President Joe Hodges will continue in his role running the company, but will have a new title as vice president and regional manager, south.
“In the near-term, we expect Douglass Fertilizer to continue operating ‘business as usual’ as a wholly-owned subsidiary of The Andersons,” Debbie Crow, corporate communications consultant for The Andersons, told Green Markets. “A key reason The Andersons chose to pursue this relationship is the demonstrated success of Douglass Fertilizer and future growth opportunities through collaboration between The Andersons and Douglass Fertilizer. The Andersons does not anticipate a need to make any immediate organizational changes.”
Douglass Fertilizer’s management team also expressed enthusiasm about the acquisition. “I am pleased to be able to transition Douglass Fertilizer to such a quality company as The Andersons,” added Douglass Chairman and CEO Spencer Douglass. “The two companies have very similar cultures dedicated to customer service, quality, community involvement and employee development, which Joe Hodges and I believe will be the basis for its continued success and rewarding relationships with our customers, employees, communities and suppliers.”
“This is a great opportunity for Douglass Fertilizer to further build upon the tremendous growth of our diversified business units,” added Hodges. “I look forward to combining our talented management team and dedicated employees with The Andersons and growing the newly established southern region.”
Based in Maumee, Ohio, The Andersons is a diversified company with interests in the grain, ethanol, and plant nutrient sectors of U.S. agriculture, as well as in railcar leasing and repair, turf products production, and general merchandise retailing. Founded in 1947, the company now has operations in eight U.S. states, plus rail leasing interests in Canada and Mexico.
The acquisitions extends The Andersons’ footprint well outside of its current territories, which include all or parts of Ohio, Indiana, Illinois, Michigan, western Ontario, Pennsylvania, New York, Maryland, Kentucky, and West Virginia. Crow told Green Markets that The Andersons wants to grow its Plant Nutrient business in major agricultural states, and sees the Douglass Fertilizer acquisition as a “great opportunity to team up with a company with similar values, good reputation and employees committed to customer service.” She said the two companies’ product offerings and the markets they serve are complementary to each other, providing great potential for continued growth and success.
Douglass Fertilizer’s agricultural market, serviced through its Liquid Ag Systems business unit, includes fruit, vegetable, citrus, and sugarcane crops, as well as the turf and ornamental markets. The company’s Applied Solutions & Technologies business unit serves the industrial and wholesale specialty agricultural markets. All business units are supported by five Florida production facilities at Hastings, Zellwood, Fort Myers, Clewiston, and Lake Placid, and a distribution terminal in Puerto Rico.
Douglass Fertilizer distributes about 140,000 tons of nutrients annually, and generated revenues of $48 million in 2007.