Two regional cooperatives in the Pacific Northwest – Valley Wide Cooperative in Nampa, Idaho, and Ag Link Inc. in Reardan, Wash. – announced on July 12 that the members of both organizations have voted in favor of a merger. Effective Sept. 1, 2021, Valley Wide will add Ag Link’s seven Washington locations to its growing footprint in the region.
“Valley Wide and Ag Link, Inc. just fit together. The merging of the two co-ops will allow us to leverage our size and scale to serve growers across our entire network,” said Dave Holtom, Valley Wide CEO. “We’re committed to continue to serve our new customers with dedication, just as they’ve been accustomed to over the years doing business with Ag Link.”
Ag Link has operated under that name since 2006, offering fertilizer, crop protection products, and fuels and lubricants from northeastern Washington locations at Almira, Coulee City, Davenport, Dayton, Edwall, Reardan, and Wilbur. The company posted $95 million in sales in 2020, with approximately $20 million coming from agronomy and $75 million from energy products and services. Ag Link has more than 1,200 members.
Both organizations said locations, management, crop advisors, and energy reps will remain the same after the merger, but former Ag Link customers will have access to more precision agriculture tools, proprietary custom blended crop inputs, and online buying options. Additional technology choices, products, and service options will also be available to energy, propane, and fuel customers. The Valley Wide board will expand to 12 after the merger, consisting of three members from the existing Ag Link board and nine from the existing Valley Wide board.
“The addition of Ag Link Inc. was a strategic choice that will help our membership as a whole,” said Adam Clark, Board Chair of Valley Wide. “We know that diversity helps us avoid risk, and farming can be a risky business. The merged co-op will add ‘another leg on the stool,’ providing stability and diversity, so the co-op remains viable – and able to return patronage and equity checks to patrons – for years to come.”
Valley Wide offers agronomy, feed, fuel and propane, and farm supply products and services to more than 60 communities in Idaho, Wyoming, Utah, Oregon, and Washington. The company’s operations include 24 agronomy locations, 18 retail stores, 15 propane plants, and a feed center. Total sales in 2020 were $500 million.
Valley Wide has been in expansion mode in recent years. Valley Ag, an agronomy joint venture formed in 2006 between Valley Wide and Winfield Solutions LLC in 2006, earlier this year acquired Saddle Mountain Supply Co., an ag retail business in central Washington that operates four agronomy centers (GM Jan. 22, p. 1). It was the need to supply Saddle Mountain customers with energy products and services that started the merger discussions with nearby Ag Link, Valley Wide reported.
Other recent Valley Ag business deals include a partnership with Ag West Supply in Rickreall, Ore., in 2017; a joint venture with Wilco-Winfield in Mt. Angel, Ore., in 2016 (GM Nov. 11, 2016); and the purchase of Arco Feed and Grain in 2015. The company also completed the construction of a $12 million fertilizer distribution and retail center west of Pocatello, Idaho, in 2017 (GM Jan. 13, 2017).