Replenish Nutrients can help propel EarthRenew as a mid-market fertiliser and soil solutions provider through its portfolio of bio-safe fertiliser and plant nutrient products and innovations
EarthRenew to acquire stake in Canadian soil solutions provider. (Credit: Pixabay/Gerd Altmann.)
EarthRenew, an organic fertiliser developer, has signed a non-binding agreement to acquire a 38% stake in Replenish Nutrients, an Alberta, Canada-based regenerative fertiliser developer, for an undisclosed amount.
EarthRenew said that the proposed deal directly fits into its objective to offer a suite of soil health solutions.
By acquiring a stake in Replenish Nutrients, EarthRenew aims to bring in both experienced management and a mature customer list, which are claimed to support in its growth as a mid-market fertiliser and soil solutions developer.
EarthRenew CEO Keith Driver said: “If consummated, we expect that the Proposed Acquisition will allow us to add top-line revenue and accelerate phase two of our construction plans. Replenish Nutrients has a broad customer list with an appetite for soil solutions. Sharing that list is anticipated to allow us to quickly open new sales channels following closing.
“We look forward to the potential of having Replenish Nutrients’ management team join EarthRenew in an enhanced operational capacity. We believe that the combined efforts of the proposed new management team will help EarthRenew accelerate the Company’s growth following closing.”
The new team is expected to support EarthRenew in all aspects of marketing, distribution and sales of its products across the regenerative agriculture space. Presently, Replenish Nutrients has a product line that is sold across Western Canada and the US (North Dakota and Montana) generating strong revenues.
The deal is also expected to help in expediting the second phase of EarthRenew’s Strathmore construction and marketing plans, as Replenish Nutrients had designed and operated the facility originally.
Replenish Nutrients managing partner Gerard Philpott said: “This proposed investment by EarthRenew is anticipated to provide us access to the capital required to accelerate the expansion of our existing facility and regenerative nutrient product line.
“Our technology utilises organic waste streams combined with natural minerals to enhance soil health, increase organic matter and biological activity with minimal impact on soil salinity.”
Subject to regulatory and corporate approvals, the acquisition is expected to be closed by February 2021.