AgroGalaxy Announces the Acquisition of Agrocat
AgroGalaxy, an Aqua Capital-controlled company, announces the acquisition of
Agrocat, one of the largest Ag retailers in the Central and Northern markets of Brazil.
– AgroGalaxy announces the acquisition of 80% of Agrocat, a retailer of agricultural inputs in key Brazilian key ag. Mato Grosso and Rondônia
– Together with the recent acquisitions of Boa Vista and Ferrari Zagatto, AgroGalaxy continues its trajectory of expansion and consolidation as one of the largest retail platforms for agricultural inputs and services aimed to Brazilian agribusinesses and farmers
– AgroGalaxy, through the acquisition of Agrocat keeps its commitment to growth and quality job creation in Brazil’s rural regions
Sao Paulo, September 9, 2021. AgroGalaxy (Bovespa:AGXY3) yesterday announced the signing of a Share Purchase and Sale Agreement to acquire an 80% stake in Agrocat Distribuidora de Insumos Agrícolas Ltda (“Agrocat”). The contract is subject to closing conditions, including approval by Brazil’s antitrust agency, CADE.
«It is a transformational deal for the company since it allows us to strengthen our presence in one of the most important regions for Brazilian agriculture. We are committed to serve and support as many farmers as we can throughout our markets» said Welles Pascoal, CEO of AgroGalaxy.
«Agrocat is one of the leading distributors of agricultural inputs in Brazil, with a history of more than 20 years working hand-on-hand with agribusinesses and farmers who are equally passionate about our sector. The partnership between AgroGalaxy and Agrocat will continue to provide high quality products and services to farmers in Mato Grosso and Rondônia», Pascoal added.
The rationale for the acquisition of Agrocat was based on three pillars: 1) AgroGalaxy’s growth agenda through strategic mergers and acquisitions in regions where it does not yet have operations, and where it is challenging to grow organically; 2) the potential to accelerate the growth plan through synergies and value creation levers; and 3) Agrocat’s high levels of professionalism, with well-aligned management and operational teams.
“The acquisition of Agrocat is a key milestone in AgroGalaxy’s drive to become the largest agricultural retailer in Brazil, opening up extraordinary growth potential in fundamental geographical regions of the country. This is central to AgroGalaxy ‘s commitment of providing the best portfolio to growers across the country”, said Sebastian Popik, Chairman of the Board of AgroGalaxy.
About Agrocat
Founded in 1998, headquartered in Tangará da Serra (Mato Grosso), Agrocat provides integrated solutions for agribusiness and farmers. It has 11 stores, three in Rondônia and eight in Mato Grosso.
No store is within the range of any AgroGalaxy stores. Agrocat employs over 150 people, approximately 40 of whom are technical sales consultants (CTVs), covering more than 90 municipalities, totaling almost four million hectares, working in soybeans, corn, sunflowers, and beans, among others.
About AgroGalaxy
Listed on the Novo Mercado, AgroGalaxy (Bovespa:AGXY3) comprises the brands Rural Brasil, Sementes Campeã, Agro100, AgroFerrari, Sementes Boa Nova, Grão de Ouro, Boa Vista, and Ferrari Zagatto, serving 20 million acres of planted area. The company’s mission is to become the leading agricultural retailer in Brazil, generating value for Brazilian farmers, employees, communities, and shareholders, all within top-tier governance and with sustainability as a key priority. It operates 122 stores in nine states, serving more than 20,000 clients.
About Aqua Capital
Founded in 2009, Aqua Capital is a private equity fund focused on agribusiness and food , with a track record of success and strong stewardship.