DENVER, CO and NEW YORK, NY - In a major move for the farmland real estate industry, Farmland Partners (FPI) has announced its intention to merge with American Farmland Company (AFCO), entering into a definitive agreement in which FPI has agreed to acquire all of the outstanding common stock of AFCO in a stock-for-stock transaction. While the exact terms of the agreement were not disclosed, the combined company will own more than $850 million worth of U.S. farmland assets, spanning 133,000 acres and 16 states.

“FPI's acquisition of these great assets assembled by AFCO will strengthen FPI's role as the leading public farmland real estate platform in the U.S.,” shared Paul Pittman, FPI’s Chairman and CEO. “This merger will significantly increase FPI's diversification across crops and geographies. Thanks to increased scale, we also expect to realize a reduction in overall costs as a percentage of portfolio value, creating superior value for our and AFCO's stockholders and our respective farmer partners.”

This merger will bring more specialty crops into FPI’s portfolio, according to a press release, which currently primarily consists of crops like blueberries, corn, and row crop farmland. The companies expect their new portfolio to consist of approximately 75% row crop farmland and 25% specialty crops.

“We believe this opportunity to join FPI's robust platform presents a meaningful opportunity to our stockholders,” Thomas S.T. Gimbel, AFCO's Chief Executive Officer, commented. “As the end result of a thorough process we commenced in April of this year, we are confident that the complementary nature of this transaction will accomplish our goal of enhancing stockholder value while preserving our core principles and continuing to execute on our vision for a scalable institutional, well-diversified, and high-quality portfolio of farmland assets.”

Paul A. Pittman will remain Chairman and CEO of FPI, D. Dixon Boardman and Thomas S. T. Gimbel, AFCO's Chairman and CEO, respectively, will join FPI's Board of Directors.

The following terms were reached under the new agreement:

• Each share of AFCO common stock and each AFCO operating partnership unit will be converted into the right to receive 0.7417 shares (or units) of newly issued FPI common stock (or units)
• On a pro-forma fully diluted basis, former FPI equity holders will hold approximately 65% of the combined company's equity, and former AFCO equity holders will hold approximately 35%
• The stock-for-stock merger is intended to qualify as a tax-free reorganization
• The transaction is subject to customary closing conditions, including receipt of the requisite approval of both FPI and AFCO stockholders

As of now, both companies' Boards of Directors have approved the transaction, sending the transaction to their respective stockholders for approval. The transaction is expected either to close by the end of the year, or early during the first quarter of 2017.

Farmland Partners American Farmland Company

YAKIMA, WA - Domex Superfresh Growers® has added to the video series that gives a unique look into the growing side, this time featuring Chief Horticulturist of Kershaw Companies Dave Gleason on being about halfway through the apple harvest.

In this insightful video, Gleason discusses that looking ahead, Fuji, Cripps Pink, and the company’s signature, proprietary apple, the Autumn Glory®, are on the way.

“For us, we want to see an apple that first of all, is very pleasing to the person who eats it. We want an apple that gives a consistent, wonderful and exciting eating experience,” Gleason said. The company noted in a press release that, for Gleason and its growers, raising Autumn Glory trees has been a journey of finding the perfect variety.

“One that works for the growers from farm all the way to the finish line,” Gleason said of Autumn Glory. “We look for a variety that is easy to grow, productive, grows to the right size, is attractive and catches the eye, and an apple that consistently gives the right eating experience.”

Described as a complement to the season’s caramel and cinnamon flavors, delivering the tagline “Experience Autumn All Year.™”

Watch the video for yourself below.

Domex has wrapped up harvesting Honeycrisp, Golden Delicious, and Gala apples for the season, and is currently in the midst of picking Red Delicious and Granny Smith.

As for its proprietary variety, the company is in its first stages of harvest now, with shipments to retailers slated for this fall.

Domex concluded that, after watching the Autumn Glory harvest all spring and summer, it is excited to finally share its signature apple with everyone.

Domex Superfresh Growers®

CAMARILLO, CA - Ever since Houweling’s Chairman of the Board, Casey Houweling, visited Impact Ministries in Tactic, Guatemala in 2012, he and the company were moved to action. Meeting Impact Ministries Founders, Les and Rita Peters, who have established six school sites in the country, Casey said he was struck by the opportunity to teach the children about nutrition and healthy eating habits, thus creating the Seeds of Tomorrow Project.

Casey stated, “I realized we could make a difference. From there, my vision for the Seeds of Tomorrow Project was born.”

Since Casey’s powerful visit, and with the help of KUBO Group, industry partners, and donations, Houweling’s spearheaded the construction of a propagation greenhouse. Opened on September 30, 2013, the company says an abundance of vegetables have been added to the daily meal program, as well as a new agriculture program and nutrition and home economic classes in the Impact Ministry schools. 

According to a press release, donations for a new commercial kitchen were raised in December 2015 through a Guatemalan themed Gala fundraiser in Ventura County, CA. Now feeding 1,600 children per day, the program provides high-quality food at $0.40 per meal. 

A former student, Edgar Suc, has now been appointed Head Farmer of the greenhouse, in charge of growing all produce for the meal programs, then selling the extra supplies in the market. Noticing that many of the schools’ students were deficient in iron, Casey pushed for the recent addition of kale to the greenhouse, which Suc has already implemented into meal.

“It is wonderful to see the children eat EVERYTHING we put on their plates,” Les remarked. “For me, seeing hungry children being fed is very emotional. I can’t imagine how they feel. They truly show their gratitude.”

Most recently, both Kubo Group and Houweling’s shipped Tactic’s school sites freight containers filled with school furniture, including desks, chairs, and musical instruments, as well as clothing and toys for the families. The company added that rain Ponchos were also purchased in order to keep the children dry as they walk to and from school each day. “The staff, students and the families receiving these items were very grateful. It is wonderful to have the opportunity to bless these special people,” added Peters.

For more information about Impact Ministries, please visit its website, www.impactministries.ca or www.impactministriesusa.org. Donations can be made to the Seeds of Tomorrow Project online at https://connect.egiving.com/seeds-of-tomorrow/impact-ministries-usa for the U.S., and Canadian donations can be made at http://www.impactministries.ca/donate-1-landing/.

Houweling's

SALINAS, CA - With the holidays coming ever closer, and consumers and retailers alike prepping for cabbage to be at the forefront of their menus, the current market for cabbage has been very active, with possibilities for an even tighter market in the future. 

As Jason Lathos, Manager of Commodities at Church Brothers Farms recently told me, the company has seen an increase in overall demand for supplies on the West Coast, as local crops and crops of the East Coast wind down production. 

“The market has been very active for two weeks,” Jason says. “FOB have hit a high of $18 to $20 with this increase in demand.” 

Jason says that the company has noted a segment-wide demand for cartons, as well as value-added items like shredded and diced Coleslaw. 

This increase in demand has been occurring at the same time as inconsistent weather in the Salinas area. Jason tells me that the crops have been seeing cooler than normal temperatures, which are then followed by a heat spike. These patterns could have an affect on the market on the near horizon.

“Quality remains great, but with the ground temperatures getting colder and the days already getting shorter, there is a forecast of tight supplies for future,” Jason finishes.

As the season progresses, AndNowUKnow will continue to keep a close eye on the market and consumer demand for the segment.  

Church Brothers Farms

POCANTICO, NY - The Musk name–associated with innovative ideas from urban farming methods to Mars missions–is now being added to the debate of where the future of ag is headed.

Kimbal Musk, younger brother of Tesla leader Elon Musk, Co-Founder of farm-to-table restaurant group the Kitchen, and Board Member for Chipotle, Tesla, and SpaceX, sees technological advancement, namely hydroponic farming, as our industry’s next chapter, it seems.

The entrepreneur in food and tech joined renowned Chef, Restaurant Owner, and author Dan Barber on The Next Kale and Quinoa panel at the New York Times Food For Tomorrow Conference 2016 on September 27, in Pocantico, NY.

Musk, who has led ventures to bring farming to children in the city, calls for hydroponic vertical farming technologies, controlled temperatures, artificial lighting, and soil-less nutrition, according to Bloomberg. 

Barber disagreed about our industry's next big moves, believing the roots should stay in the soil.

“It’s not making me hungry,” Barber told the audience at a panel on new food trends, Bloomberg reported, adding that he is often a supporter of crop rotations’ and the soil’s ability to improve flavor. “When Kimbal says you can dial in the flavor and colors you want, I don’t know that I want that kind of power. I’d rather have a region or environment express color and flavor.”

Musk had previously explained that lights inside the containers can be dialed to yield particular flavors, but that the greatest appeal is bringing young people into farming industry.

Barber contended that he doesn't know much about vertical farming, but wants to see more excitement about what goes on underground instead of above.

While the story does conclude with there not being enough containers yet for Musk’s vision to be a reality–he commented that 99.99 percent of products for his restaurants are from soil-grown foods–strong leaders in both tech and food coming together to discuss our industry’s future looks to be a promising start in strengthening the conversation.

SALINAS, CA - Foxy brand fresh produce’s marketing arm, The Nunes Company, Inc., announced the expansion of the Foxy Organic brand with the addition of several new items.

As organic production continues to grow, the company has unveiled organic dandelion greens, fennel, and leeks.

“Based on the increased consumer demand for our organic products, we now have 40 organic produce items available year-round,” said Laura Hastie, Marketing Assistant for The Nunes Company, in a press release. “Foxy is proud to now offer a complete line of organically grown vegetables to complement our existing line of conventionally grown vegetables. Our motto of “One Company, One Stop.” provides our customers with one-stop shopping for all fresh produce needs.”

The Nunes Company added that these latest additions come at the perfect time, all being used in a number of fall seasonal recipes. To help foster that demand, Foxy plans to launch four new recipes over the next few months, including instructional videos and consumer handling tips on both the Foxy website and its social media channels.

The company concluded that it expects continued growth for all organic products as we head into 2017. As that reach continues to spread, keep checking in with AndNowUKnow for all the latest on the climbing category.

Foxy Fresh Produce